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Migrants' group hits mandatory Pag-IBIG for OFWs


A group advocating migrants’ rights has scored the Philippine Overseas Employment Administration (POEA) for requiring overseas Filipino workers (OFWs) to become members of the government’s housing loan program. Based on POEA’s Memorandum Circular 06, the mandatory coverage to the Home Development Mutual Fund (HDMF) or Pag-IBIG Fund, which took effect Sunday, August 1, involves a membership fee of P600 to be paid by the workers upon deployment. In a statement, Migrante-Middle East said while they recognize the intent of the government’s housing program, they are questioning why membership was made mandatory. “Before it is only optional, not mandatory, thus giving OFWs and their dependents the leeway to choose if it is better, more appropriate, and practical to get a housing loan from Pag-IBIG, instead of just building their own house from their earnings," said Migrante regional coordinator John Leonard Monterona. He likened the compulsory membership to a “hold-up," as it is now part of the requirements for getting an Overseas Employment Certificate (OEC), which all land-based and sea-based OFWs are required to have. “In order to get an OEC, an OFW must pay P1,164 for OWWA (Overseas Workers Welfare Administration) membership, P900 for Philhealth, the newly imposed P600 for Pag-IBIG, and the P100 processing fee for a total of P2,764. This is on top of other fees and charges imposed by the government and the placement fee collected by recruitment agency," Monterona explained. Based on the MC No. 06 issued by the POEA on July 7, OFWs are now required to pay P600 upon registration and deployment, representing six months of contribution. Membership to the Pag-IBIG fund is now a requirement for the processing of documents of OFWs and the issuance of OEC, for applications processed both in government-run placement agencies and in licensed recruitment agencies. The mandatory coverage starts on August 1 according to the memorandum, but Monterona said they have received complaints from OFWs that they were charged the additional amount way before is date of implementation. “Fellow OFWs have told us that upon getting an OEC at the POEA main building, they were asked to pay P600 for Pag-IBIG membership – it was on the first week of July," Monterona said. He expressed fears that more charges will be imposed on OFWs, as the government will have to replenish its budget which has purportedly been already used up by the previous Arroyo administration. He added OFWs are always the government’s “easy target" for new fees, but programs and services for workers and their families have remained wanting. “After hearing Aquino’s first [State of the Nation Address], we ask, was he only dreaming or will he be true to his words? The President did not even bother to reiterate his directives to concerned government agencies to attend to OFWs’ concerns and issues in his speech. This is a bad indication that he too would likely be anti-OFWs," Monterona said. - Jerrie M. Abella/KBK, GMANews.TV