CSC junks MMDA union's demand for cash incentive

MANILA, Philippines - The Civil Service Commission has dismissed the demand of the employees’ union of the Metropolitan Manila Development Authority for the payment of their 2011 Collective Negotiation Agreement cash incentive.

In its March 14 decision, CSC ruled in favor of the MMDA management which maintained it had no savings that time to pay for the employees benefits. 

The CSC’s five-man Public Sector Labor-Management Council  also ruled that the demand of the Kapisanan Para sa Kagalingan ng mga Kawani ng MMDA (KKK-MMDA) "cannot be given due course in the absence of savings for the year 2011."

Citing Article 10 of the CNA entered into between MMDA and KKK on Sept.30, 2011, PSLMC said it is clear that the CNA incentive can only be released to the employees "subject to the availability of public funds."

"The CNA incentive can only be granted to the (MMDA) employees only after satisfying or paying the mandatory obligations of the agency…said stipulation is clear that the contracting parties agreed that payment of mandatory obligations will take precedence over the grant of CNA incentive. Hence, KKK-MMDA cannot demand otherwise,” the council said in its decision.

PSLMC is composed of CSC Chairperson Francisco Duque III as the council chairman, Labor Secretary Rosalinda Baldoz as vice-chairman, and Justice Secretary Leila De Lima, Finance Secretary Cesar Purisima, and Budget Secretary Florencio Abad as members.

The case stemmed from an Oct. 3, 2012 letter of KKK-MMDA President Jaime Enriquez to the CSC,  asking for an investigation into the non-release of their 2011 CNA incentive, which amounts to at least P25,000 per employee.
           
Enriquez alleged that the MMDA still has P211,763 million in time deposit and P94 million savings from the agency’s 2011 Maintenance and Other Operating Expenses, which he said is enough to fund the employees’ CNA incentive.

But the MMDA management argued that the amounts are not part of the savings which can be utilized to pay the 2011 CNA incentives since the subject funds are earmarked for the payment of the agency’s current mandatory obligation such as the garbage tipping fees.

The MMDA management submitted to the CSC-Personnel Relations Office its certified allocations and utilization of 2011 MOOE, which showed the MOOE budget allocation for six budgetary items such as travelling, communication, repair and maintenance, transportation and delivery, supplies and materials, and utility expenses.

MMDA's savings for 2011 only amounted to P8.023 million.

MMDA Assistant General Manager for Finance and Administration Edenison Fainsan said the management has been transparent in dealing with KKK officers.
           
"The MMDA Book of Accounts has been open to all concerned. Most importantly, all legally mandated benefits have always been granted to all employees of the MMDA," Fainsan said in his comment sent to CSC-PRO on Nov. 12, 2012.