Condone loan penalties of public school teachers

Lawmakers are calling on the Government Service Insurance System (GSIS) to condone loan penalties and onerous compounded interests incurred by public school teachers.

1-PACMAN party-list Rep. Enrico Pineda led the filing of House Resolution 2232, citing the numerous complaints of public school teachers in relation to their GSIS loan transactions incurring dubious and erroneous deductions from their monthly pay slips.

“Public school teachers further appeal on the anomalous deductions for their purported GSIS loans which they allegedly did not personally incur and are also being charged corresponding penalties for late payments,” he said.

He expressed concern that the debt of public school teachers from legitimate lending institutions has ballooned to unprecedented levels amounting to R178 billion, while R123 billion are due to GSIS according to the data released by the Department of Education (DepEd).

Under the resolution, the lawmakers noted that around 23,000 teacher-retirees in 2017 failed to receive their pension due to unpaid debts and compounded interest and penalty fees from GSIS.

They said their Agency Authorised Officers (AAOs) should have ensured first the financial capability of teachers to pay and the Agency Billing Officers should have also ensured on-time payments of loans owed by DepEd personnel to GSIS.

“It is the inherent power of the State as guardian of the people to intervene and protect the best interest of the people whose welfare are at stake,” the lawmakers said.

“Condonation of penalties incurred by public school teachers in payment of their loans in GSIS will in effect provide relief to all those affected by the violent debt cycle that continues to plague public school teachers and their families,” the lawmaker said.

Joining Pineda in filing the resolution are 1-PACMAN Rep. Michael Odylon Romero, YACAP party-list Rep. Benhur Lopez Jr., AGRI party-list Rep. Orestes Salon, KABAYAN partylist Rep. Ron Salo, COOP-NATCCO party-list Reps. Sabiniano Canama and Anthony Bravo , 1-ANG EDUKASYON party-list Rep. Salvador Belaro, 1-CARE party-list Rep. Carlos Roman Uybarreta, Bayan Muna party-list Rep. Carlos Isagani Zarate, ACT Teachers party-list Reps. France Castro and Antonio Tinio, Akbayan party-list Rep. Tom Villarin, Anakpawis partylist Rep. Ariel Casilao, Sorsogon Rep. Evelina Escudero, Pampanga Rep. Carmelo Lazatin II, Cavite Rep. Strike Revilla, Leyte Rep. Jose Carlos Cari, Pangasinan Rep. Amado Espino Jr., Isabela Rep. Ma. Lourdes Aggabao, Bulacan Rep. Lorna Silverio, Camarines Sur Rep. Gabriel Bordado, and Pangasinan Rep. Rose Marie Arenas.