Gov't workers, retirees' groups back Veloso as GSIS chief amid fund concerns

Three organizations representing bureaucratic workers and retirees have expressed support for the current leadership of the Government Service Insurance System (GSIS) under its president and general manager Arnulfo "Wick" Veloso, who was being questioned over alleged fund losses in the GSIS.

In a statement, the Philippine Government Employees Association (PGEA) said, "Ang mga ulat ng 'pagkalugi' ay hindi namin nakikita sa aktwal na sitwasyon (The reports of 'losses' are not seen by us in actual situations)."

"Ang GSIS ay may maayos na pondo at patuloy na kumikita (The GSIS has a sound fiscal standing and is continuously earning)," said PGEA, which reports a membership of some 600,000 individuals.

To recall, some GSIS trustees, including former Ombudsman Merceditas Gutierrez tendered their resignations after they called for the immediate resignation of Veloso over differences in his investment strategies that allegedly resulted in P8.8 billion in losses.

Some have called for Veloso's resignation, which he has rejected.

'Difference in perspectives'

In a separate statement, the GSIS explained that the "current dissent arises from a difference in perspectives on investment strategy and governance philosophy."

The pension fund stressed that its total assets have grown to P1.92 trillion, while its net income has reached P100.02 billion, exceeding the period's budget by 51% and surpassing prior year performance.

Moreover, the GSIS said its fund life "remains securely extended to 2058, ensuring stability and security for future generations of civil servants."

The Philippine Alliance of Retired Educators (PARE), with 280,000 members, and the GSIS Retirees Association Inc. (GRAI) also conveyed their confidence in the direction that the GSIS is taking amid recent public discussions regarding its investments and governance.

The PARE, led by former Department of Education Undersecretary Jesus Mateo and founder Abigael Ignacio, met with Veloso and GSIS officials to discuss the concerns of retirees, including dividends, pension increases, and Christmas cash gifts.

"We want to be your mouthpiece to tell everyone that GSIS is strong and stable," Mateo said, adding that the group will help in disseminating accurate information about GSIS programs and financial standing.

'100% support'

The GRAI, meanwhile, affirmed its "100% support" for Veloso's leadership, recognizing that prudent investments are essential to sustaining the fund for future generations. 

The group is headed by its president, Felix Cabalquinto.

"We know that GSIS needs to invest because contributions alone are not enough to sustain the benefits of all members," GRAI said.

In each dialogue with the groups, the GSIS said Veloso had clarified that reports of losses are false, explaining that GSIS remains financially strong, guided by the principles of safety, liquidity, and yield, and that all investment decisions undergo review by different committees of the GSIS Board.

Veloso had also assured the groups that GSIS has never invested in gambling-related ventures and continues to place the majority of its funds in risk-free instruments such as government securities and member loans.

"We value our members' and pensioners' trust. That is why we welcome opportunities to clarify issues directly and explain the facts," Veloso said. — VDV, GMA Integrated News