CEBU, Philippines - The Home Development Mutual Fund or Pag-IBIG Fund is condoning for six months – from January to June 30, 2012 – the penalty of delinquent and unregistered employers.
Dale Mark Antonio, information officer of Pag-IBIG Fund – Cebu North, said many employers remain unregistered and delinquent since Republic Act 9679 or the Home Development Mutual Fund Act of 2009 took effect last January 2010.
The law has made Pag-IBIG coverage “universal”.
“This means that every employed Filipino should be a Pag-IBIG member and enjoy its benefits,” Antonio said in a forum by the Philippine Information Agency.
Under HDMF Circular No. 399, the condonation program shall cover employers who did not enroll their employees with Pag-IBIG and those who also did not collect membership contributions. The program seeks to protect the interest of Pag-IBIG members, as well as to provide employers practicable means to settle their membership contribution arrears.
Antonio said it also seeks to compel unregistered/delinquent employers to register their employees to the Fund and provide them access to the benefits they deserve.
Unregistered employers who wish to avail of the program are required to register with the Fund through its Online Employer Registration System prior to applying for penalty condonation not later than June 30, 2012.
Upon application for penalty condonation, employers are required to remit their contributions of current employees for the current remittance period and every month thereafter. Otherwise, the corresponding penalty chargers will apply.
The applications for penalty condonation are approved or disapproved not later than two months from the date of submission of the complete documents.
Once the application for penalty condonation is approved, employers have the option to settle it in full or through a plan of payment to be submitted within seven days and not later than the 25th day from the day of approval. Otherwise, said approval shall be forfeited.
Employers are required to pay all their counterpart dues from the approval of application and the dividends that said arrearages could have earned. The payment shall be made in full within 30 days from approval of the application for penalty condonation.
Employers whose applications are disapproved are required to pay all contributions, arrearages of its members including applicable penalties, interests and dividends.
Failure to comply with the said conditions will result to corresponding legal actions against the delinquent employers, Antonio said.
Those who wish to avail of the program need to submit an application for penalty condonation, list of employees with their respective salaries or unremitted contributions, and affidavit of undertakings.
Other requirements include certified true copy of applicable proof of business existence such as business permit/Mayor’s permit; Department of Trade and Industry (DTI) certificate of registration; Securities and Exchange Commission (SEC) certificate of partnership or incorporation; Cooperative Development Authority (CDA) certificate of cooperative; SSS certificate of membership and photocopies of payroll.
Meanwhile, employers who have deducted but did not remit membership contributions and/or short term loan amortizations from their employees are disqualified from availing of the program.
Employers who have previously availed of any penalty condonation offered by the Pag-IBIG Fund are also disqualified. — (FREEMAN)