Contractual workers question Pag-IBIG deduction off their pay

ORMOC CITY, Philippines — Majority of the more than 1,000 job order (JO) workers of Ormoc City government complained of the compulsory Pag-IBIG deduction from their salaries, even if they are not registered members yet.

One of the issues raised by them was the automatic deduction of P100 in their pay, for the payroll period of June 1-15, a copy of which showing the deduction for 14 workers amounting to P30,400 has been furnished The Freeman.

The affected workers contested that they should have filled up membership forms first before their contributions are deducted. With the deducted already effected, they asked where their money would go because they have no official records as Pag-IBIG members.

Adelaida Biacolo, City Human Resource Officer in a recorded interview, confirmed that she would not sign the payroll of these JOs without the Pag-IBIG deduction on their payslips.

"I will continue to impose the compulsory deduction in the succeeding payroll this June 30. JOs should secure exemption from Pag-IBIG if they don't want to be deducted, but I will impose (deduction), anyway the amount will not be lost", she said.

The JOs countered by saying that there would be no assurance that they will be still be working because of their contractual status.

When asked if there are no legal impediments in deducting contributions first before a JO becomes a Pag-IBIG member, Biacolo said: "There is none."

Biacolo also admitted that several of the JOs have complained about this and were hesitant of paying first before their membership status gets cleared.

In a separate interview via telephone, Jennylind Barreta, HDMF-Members Services Officer based in Tacloban, cited Rule No. 5 (fund coverage and membership), Sections 1 - 4 of Republic Act 9679 (Implementing Rules) - Home Development Mutual Fund Law of 2009 as the basis for the deduction.

She however failed to show a provision mandating that payments be collected first from a non-member, but only explained that the amount to be deducted is two percent of P200 salary for 26 days, as the government will have no counterpart.

Evangeline Pareja, officer-in-charge of Pag-IBIG Ormoc, told The Freeman that the clamor of JO workers in Ormoc was understandable. "They should have some proof of their contributions," she said.

"I already told Adelaida (Biacolo) to get the necessary forms in the office, which she can reproduce considering the limited supply, (for the JOs to accomplish for their membership," she said.

City Accountant Rosalinda Muyuela yesterday said she has instructed the personnel in charge of the transaction in her office to hold remittance of the JO workers' contribution pending settlement of the issue. — THE FREEMAN