COA slams DOLE for lapses, irregularities in key programs

The Commission on Audit (COA) heaped severe criticisms on the Department of Labor and Employment (DOLE) on what it found to be lapses, irregularities, and indecisiveness in the implementation of DOLE’s key programs including the 13.9-billion employment project for disadvantaged and displaced workers.

In its value for money audit

of the projects lined up in 2016, COA observed serious problems that prevented the successful implementation of the programs for local and overseas workers, including teachers displaced by the K-12 education program.

The value for money audit is part of the 2016 annual audit of DOLE.

State auditors made the following observations in the utilization by DOLE of government funds to implement its programs:

• Non-compliance with the implementing rules and regulations of the procurement law and the absence of physical and financial work plan and standardized monitoring and reporting system in assessing accomplishment of the P3.92 billion Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers and Kabuhayan Programs;

• Allocation of P1.34 billion to finance the Government Internship Program “was not fully utilized” and the overall result of the program cannot be validated due to monitoring and evaluation monitoring. Some P372.6 million or 25.76 percent of the funding was not spent although target beneficiaries of 41,420 was fully attained;

• Excessive appropriation of P500 million for the implementation of the K to 12 Adjustment Measures Program for higher education institution personnel was noted. At least P480.6 had not been spent with only 157 displaced HEI personnel having been benefited;

• Lack of strategies in promoting the welfare and protection mechanisms for Overseas Filipino Workers and failure to prepare plans for swift emergency repatriation of displaced and distressed OFWs. Some 150 million that was allocated for the program had not been utilized;

• Failure of the International Labor Affairs Bureau (ILAB) to prioritize the operations of the P5million Foreign Labor Operations Information System aimed at improving the delivery of services through the development of the interactive computer-based FLOIS.

• Non-implementation of the Job Start Philippines Program due to the failure of DOLE to prepare a Capacity Development Plan. This was originally funded by the Asian Development Bank and subsequently received P106.4 million in appropriations from government.

• Inclusion of 14 ineligible local government units as among the recipients of 11.048 billion Bottom UP Budgeting (BUB) project. Physical delivery rate of 30.10 percent for 276 completed BUB projects was considered “low.”

COA said the TUPAD and Kabuhayan programs were not known to be DOLE projects and were instead misconstrued by the beneficiaries as LGU projects due to the limited presence” of DOLE personnel in areas benefiting from the employment generation project.

A component program of the DOLE Integrated Livelihood and Emergency Employment Program, the TUPAD and Kabuhayan seek to provide work for displaced and impoverished workers by doing communitybased jobs.

COA asked DOLE to increase the awareness program for the TUPAD and Kabuhayan projects to increase the number of beneficiaries of the program.

State auditors chided DOLE officials for failing to maximize the P50-million allocation for the emergency repatriation program of OFWs displaced for various reasons.

“The low percentage of utilization showed that funds intended for the program were not maximized for its purpose despite the need of the 11,000 stranded OFWs as reported displaced from work due to the oil crisis in Saudi Arabia,” COA said.

The audit agency rejected as “inappropriate” DOLE’s claim that repatriation of distressed OFWs is the responsibility of either the employer or the employment agency.

A total 43,035 high school and vocational course graduates were admitted to the GIP for internship work in various government offices.

Decrying as “inappropriate” DOLE’s claim that repatriation is primary responsibility of the employer or the employment agency, COA said DOLE should not hesitate to use the repatriation fund if only to “readily alleviate the misfortunes of the workers.”

In conducting the performance audit for the K to 12 AMP, COA said the low utilization rate of funds was blamed on the ‘stringent requirements in availing of the programs.”

The audit agency stressed that the budget for implementation is “excessive.”

However, the DOLE management said the low rate of expenditures did not “compromise the full utilization of the program”

COA criticized ILAB for the delay in the implementation of the interactive computer-based FLOIS that was designed to ensure the availability of up-to-date and reliable data information of the DOLE’s foreign operations.