DBM: Rice allowances for gov’t workers illegal
THE Department of Budget and Management (DBM) has confirmed that the policy of providing for rice allowances to employees of the Dagupan City government is illegal.
The ruling compels the city administration to discontinue the policy started by former Mayor Benjamin Lim.
The Lim administration previously alloted millions of pesos as “financial assistance” to the employees’ cooperative for the purchase of rice that were eventually distributed to city hall employees.
City Administrator Farah Decano, a lawyer, maintained that the supposed rice allowance was contrary to law, and this was affirmed by City Auditor Virgilio Quinto who noted that that it is illegal to give government employees additional benefits outside what is prescribed under the rules.
Consenquently, Mayor Belen Fernandez ordered a stop to the benefit and directed City Budget Officer Luz de Guzman to verify the matter with the DBM regional office.
Nonetheless, the mayor directed De Guzman to study what additional benefits can be provided within the limits of the law to help city employees.
“We cannot give benefits to our employees which are not allowed by law, otherwise all the signatories will be hailed to the Ombudsman”, she said.
YEAR-END BONUS
Meanwhile, Decano gave assurance that despite the financial constraints being faced by the city government, the year-end benefits of regular employees have already been reserved and will be ready for distribution.
Decano, however, stressed that only regular employees are entitled to these benefits under the law.
Technical consultants and EWs, who were receiving similar bonuses during the Lim administration, are no longer part of the appropriation.
The law provides that technical consultants and job-order employees such as the emergency workers (EWs) have no employee-employer relationship with the city government and, therefore, not entitled to the benefits.
In 2012, the city auditor’s dated August 19, 2013, stated that cash gift for the year 2012 amounting to P3.3 million were granted to 748 technical consultants, job order employees and the like in violation of DBM Circular 2010-01 dated April 28, 2010 and Sections 3.1 of COA Circular 2-12-003 dated October 29, 2012.
Quinto said the grant of cash gifts to those hired without employer-employee relationship represent “irregular expenditures” which precludes the government from utilizing more funds for the needs of its constituents as well as for other priority projects.
The auditor noted that those responsible for the illegal disbursements have yet to be made accountable while the recipients have yet to be ordered to return the bonuses they were not entitled to.
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