GOCC heads asked to cut own pay

The call for sacrifice in the wake of the looming fiscal crisis shifted yesterday to officials of the Social Security System (SSS), Government Service Insurance System (GSIS), National Power Corp. (Napocor), and other state-owned or controlled corporations.

"These officials should take a substantial pay cut," chorused senators who attended a hearing on the fiscal crisis.

They said if lawmakers are asked to give up their pork barrel and lowly policemen are forced to chip in a day’s pay, executives of state firms who receive fat salaries should be content with a lower take-home pay.

During yesterday’s Senate hearing on the fiscal crisis, Sen. Sergio Osmeña III asked Finance Undersecretary Nieves Osorio if she knew how much the GSIS and SSS presidents receive in basic monthly salary.

When he noticed that Osorio was groping for answers, Osmeña volunteered the information: the GSIS president-general manager gets P600,000 a month, while the SSS president receives P500,000. He said the Napocor president gets P100,000 a month in basic pay.

He said finance officials should know how much GSIS and SSS executives are receiving in salaries and allowances since they have supervision over these agencies.

That observation prompted Sen. Manuel Roxas II to seek a report on how much in total emoluments all government corporate executives are getting.

Sen. Joker Arroyo said Napocor officials "rehired themselves after getting more than P12 billion in retirement benefits."

"Where did they get the money when Napocor is the top money loser among state corporations?" he asked.

Arroyo warned the officials to prepare for a Senate investigation into their decision to retire, pay themselves billions and then rehire themselves with the same fat salaries. "They better prepare because I will look into this carefully," he said.

During the hearing, Roxas expressed amazement over the glowing assessment of Deputy Director-General Augusto Santos of the National Economic and Development Authority (NEDA) on the impact of the recent and impending power rate increases on industry, people’s incomes and the economy in general.

"How can you say that these adjustments would be good for the economy?" he asked.

Santos said NEDA has made some studies but that he could not remember the findings and supporting figures.

Sharing Roxas’ amazement, Osmeña told Santos: "If that is the logic, then let us have more taxes and electricity rate increases!"