Pag-IBIG Fund has secured the support of the Federation of Free Workers for its plan to increase the nearly four-decade-old mandatory monthly savings rate for both members and their employers starting this month.
In its letter to Pag-IBIG Fund, FFW, one of the biggest labor organizations in the country, cited the agency's responsible management of the funds entrusted to it by Filipino workers.
Likewise, the FFW lauded Pag-IBIG Fund for its efforts to provide social protection for its members in accordance with its charter.
"We wish to express our support and raise no objections to your plan to increase the Pag-IBIG monthly contributions by January 2024. With this increase, we recognize that our fellow workers will be entitled to greater savings when their memberships (with Pag-IBIG Fund) mature or upon retirement," the group told the agency.
"We particularly note the equal increase in employers' counterpart contributions, which will result in more substantial savings for our fellow workers," it added in the statement issued by its national president, Atty. Sonny G. Matula.
Matula emphasized that FFW's support for Pag-IBIG Fund's rate increase is contingent upon the agency's commitment to further improve the benefits of its members, and ensure that its growth is directed toward the betterment of workers.
Under Pag-IBIG Fund's new savings rates, the maximum monthly compensation to be used in computing the required two-percent employee savings and two-percent employer share shall be increased to P10,000 from the current P5,000.
As a result, the monthly savings of Pag-IBIG Fund members, for both the employee's share and the employer's counterpart, shall increase to P200 for each from the current P100.
Pag-IBIG Fund chief executive officer Marilene C. Acosta expressed her appreciation for the support of the FFW and assured that Pag-IBIG Fund members shall be entitled to better benefits under the agency's new rates.
"We thank the Federation of Free Workers for supporting our plan and sharing our efforts in advancing the welfare of Filipino workers. We assure the FFW, our members and our stakeholders that the increase in our monthly savings rates shall redound to the benefit our members," Acosta said.
"The increase in our monthly rates means that our members shall have higher Pag-IBIG savings that will earn annual dividends, which they shall receive upon membership maturity or retirement. And, because of their higher savings, they shall also be entitled to higher multi-purpose and calamity loan amounts to help them with their financial needs. On an equally important note, our new rates shall allow us to continue providing affordable home loans to our members in the coming years," Acosta said.