LGU ‘contractuals’ finally get Pag-IBIG benefits

By June 18, 2011Business, News

CONTRACTUAL employees hired by local government units (LGUs) in the province now receive the same Pag-IBIG fund benefits enjoyed by regular employees.

Twenty-six municipalities and three cities have already began sending remittances for the corresponding contribution to the Pag-IBIG Home Development Mutual Fund-Dagupan Branch for 4,399 job contractual employees.

Other LGUs are expected to follow soon.

Home Development Mutual Fund Information Officer Huge Olarte said the agency is confident that all job order employees and emergency workers in Pangasinan will be enrolled by the end of this month.

The Pag-IBIG benefits that will now be available to non-regular employees include tax-free dividend earnings, multi-purpose loan or calamity loan and housing loan.

Under Republic Act No. 9679, coverage and membership in the Fund is mandatory for those who are self-employed, regardless of trade, business or occupation, with an income of at least P1,000 a month and not over 60 years old. Hence, job order employees, emergency workers and consultants, who are not under an employer-employee relationship with the LGU, are also mandatorily covered by the Fund. (HDMF/PIA-Pangasinan)

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