MANILA, Philippines - Malacañang on Wednesday is suspending for 3 months the bonuses and other perks of top officials of government-owned and controlled corporations (GOCCs) and government financial institutions (GFIs).
Executive Order 7 which will be in effect until December 31, was signed by President Benigno Aquino III.
Aquino also ordered a moratorium on increases in salaries, allowances, and other benefits of top officials of these agencies, except salary adjustments provided under EO 811 and EO 900.
EO 7 also created the Task Force on Corporate Compensation (TFCC) which will make an inventory of salaries, allowances and other benefits given to all members of the board of directors, and rank and file employees of GOCCs and GFIs.
The TFCC will be composed of the Office of the President as chairman, the Department of Budget and Management, Department of Finance and the Civil Service Commission.
In his first state of the nation address, Aquino scored GOCCs for rewarding themselves with fat paychecks and bonuses, even while some of these agencies are losing heavily.
source abs cbn