(CNN Philippines) — The size and earnings of a company determine the size of its salaries, allowances, and bonuses that it gives to its officials and employees, according to the Governance Commission for Government Owned or Controlled Corporations (GCG).
That means a big corporation can give bigger pay and bonuses.
Director Paolo Salvosa, GCG spokesperson, says GOCCs may be tagged, going from biggest to smallest, from class A to class E.
Following is the maximum per diem per meeting each category of company will pay:
Class A: P40,000 (P960,000 per year)
Class B: P20,000 (P430,000 per year)
Class C: P15,000 (P360,000 per year)
Class D: P10,000 (P240,000 per year)
Class E: P5,000 (P120,000 per year)
According to the Commission on Audit (COA), there are 23 GOCCs with irregular or unnecessary expenses.
Following are the top six GOCCs that have the biggest of such expenses:
Duty Free Philippines Inc.: more than P141 million
Home Development Mutual Fund: more than P130 million
National Housing Authority: almost P49 million
Local Water Utilities Administration: almost P41 million
Overseas Workers Welfare Administration: more than P14 million
Development Bank of the Philippines: almost P12 million
For as long as its budget would allow, a GOCC would give as high a compensation package as it can, according to Salvosa.
What the GCG dismantles are those that are showing losses year after year.
But this doesn’t mean that companies can pay extravagant fees to consultants and lawyers.
According to COA, three GOCCs have fallen into this trap:
Development Bank of the Philippines: more than P30 million
Credit Information Corp.: almost P10 million
Veterans Federation of the Philippines: almost P3 million
Retirement packages of the following companies are also generous:
Home Development Mutual Fund: more than P130 million
Clark Development Corp: more than P47 million
Clark International Airport Corp.: more than P7 million
Veteran Federation of the Philippines: more than P3 million
COA has issued notices to GOCCs for them to return the money used for unauthorized expenses.
Following are the top companies asked to return such expenses:
Local Water Utilities Administration: more than P3 billion
National Power Corp.: almost P800 million
Philippine Ports Authority: almost P357 million
Philippine National Railways: almost P327 million
Metropolitan Waterworks and Sewerage System: almost P320 million
