GSIS blames employers for delayed posting of workers' contributions

The Government Service Insurance System (GSIS) blamed employers for not updating their salary data base that caused delays in posting the right amount of members' contribution to the pension fund.

The situation was flagged by the Commission on Audit in its annual financial report covering government-owned and controlled corporations that included the GSIS—which is the pension fund for government employees—and its private sector counterpart, the Social Security System (SSS).

According to the commission, the GSIS has been nursing in its books and coffers P11.5 billion of undistributed collections and the SSS around P1.1 billion.

In an interview with GMA News at the pension fund's headquarters in Pasay City on Friday, GSIS officer-in-charge Nora Saludares shed light on what had happened, saying "Bakit tayo nagkakaroon ng undistributed collection?"

COA was right in its assessment, but the employers—encompassing more than 1,000 government agencies, had more to do with what had happened than the pension fund, Saludares noted.

"Nagkakaroon ng problema pagka the agency will not report to us the updated salary of our members, because our system will compute the premium due to GSIS based on the salary reported to us," she said.

"For example, our system will compute P1,000 premium for Juan dela Cruz and an electronic billing file will be released by GSIS. And here comes the agency, 'yung electronic remittance file nila ... bigla siyang nagbayad ng P1,200, eh,  ang billing lang namin is P1,000, 'yung P200 na difference 'yun 'yung undistributed collection na sinasabi, Saludares noted.

"Nagkaroon ng difference because we found out later na ito palang si Juan dela Cruz nagkaroon ng adjustment sa sweldo, tumaas ang sweldo, but it is not reported to us. So the system computed the premium based on the salary reported to us, but not based on the new salary because that Juan dela Cruz was promoted," she said.

In its annual financial report on government-owned and controlled corporations, the commission said the GSIS had P11.5 billion in "undistributed collections."

Because around 1,000 government agencies' fail to update the GSIS of salary adjustments, the "undistributed collections" have accumulated by around P35 billion in more than decade, the GSIS official said.

"We have done gradual efforts to reduce that, now it is down to almost P6 billion as of November 2017," she said, noting the COA report of P11.5 billion reflected the undistributed collections as of December 2016.

The commission is aware why the state pension fund has undistributed collections or delayed posting of members' updated contributions, Saludares noted.

"It should have been fair for GSIS if also the COA published the explanation as far as the GSIS is concerned," she said.

Members, don't worry

Members and pensioners of the GSIS should not worry about undistributed collection since their contributions are intact.

"Walang nawawalang premium or contributions paid by the member ... Naka-earmark pa rin 'yan doon sa account ng member, naka-lutang lang 'yan. We will coordinate with the agency, they need to accomplish a form so that the GSIS can make the proper adjustments," Saludares said.

State auditors flagged GSIS because members get lower benefits due to delayed postings.

Since October, the GSIS has been implementing a "100 percent threshold" system.

"The GSIS has already implemented a permanent solution on this and it is also one way of disciplining all the agencies that we are now imposing the 100 percent threshold on the remittance of premiums," Saludares noted.

"It means that our electronic billing file should tally with the electronic remittance file of the agency otherwise hindi siya makakabayad ... Any unmatched items should be resolved by the agency and it is only after that the GSIS will update all the records then the agency can now pay and all payments will be posted accurately and timely," she said. — VDS, GMA News