WHEN Renato Literal lost his job as a database technician on June 30, 2020, a few months into the COVID-19 crisis, he was hopeful that he would not end up empty-handed after having worked with the government since September 1, 2000 or close to 20 years.
On August 23, 2021, he filed a petition with the Commission on Audit for payment of his end-of-service benefits, paid vacation leaves, and other monetary benefits due him which, by his computation, amounted to P3,038,808.
But in a six-page en banc decision of the Commission on Audit released last month, Literal got the sad news – he stands to get not even a single centavo despite having served in government for almost two decades.
The simple reason: he served all those years as a contract-of-service (COS) worker, not a regular employee.
“Petitioner, who was hired as a COS personnel, does not enjoy the benefits being received by government employees. Though (the) petitioner was hired and continuously rehired for almost 20 years, his length of service was not credited as government service. Thus, not being a regular employee, he is not entitled to end-of-service benefits and leave credits,” the COA said.
According to Literal’s claim, he worked as an administrative assistant under the Overseas Workers Welfare Administration (OWWA) from September 1, 2000 to February 28, 2009 before being absorbed as an administrative assistant/database technician of the Department of Labor and Employment-International Labor Affairs Bureau (ILAB) for the Philippine Overseas Labor Office (POLO) in Riyadh where he worked until being terminated on June 30, 2020.
He added that under the laws of the Kingdom of Saudi Arabia, he is entitled to end-of-service benefits and leaves upon the end of his work relationship with his employer.
Literal’s claim for end-of-service benefits was endorsed by Labor Attaché Nasser Mustafa of POLO-Riyadh.
DOLE Undersecretary Claro Arellano, on the other hand, issued a memorandum dated January 20, 2020 stating that the DOLE does not oppose a claim of remuneration benefits and/or gratuity pay provided that conditions set forth under the Department of Foreign Affairs (DFA) Department Order No. 10-2014 are complied with and the COA grants the petition for compensation.
But in its answer dated October 25, 2021 to Literal’s claim, the DOLE-Legal Service invoked the rule against payment of benefits to COS hires, noting that the Civil Service Commission (CSC) Memorandum Circular No. 17, s. 2002, contract-of-service personnel have no employer-employee relationship with the government agency.
The DOLE added that “the favorable recommendation of Labor Attaché Nasser Mustafa does not bind the DOLE.”
The COA en banc said it is bound by the rules to deny the claim.
“Petitioner’s contention that he is entitled to end-of-service benefits pursuant to pertinent provisions of the Saudi Law is untenable. As correctly pointed out by the CD (cluster director), Saudi law does not apply since the contracts were executed in the Philippine Embassy, KSA which is an extension of the Philippine jurisdiction,” the Commission said.
Official figures from the CSC as of June 30, 2024 showed there are 939, 771 government workers under COS or job order (JO) status who also stand to get zero benefits upon retirement despite having spent their best years in government agencies.
Of the said total, 938,642 were hired by offices under the Executive branch accounting for 99.87 percent. There are 999 working for constitutional bodies, 97 for the judiciary, and 33 for Congress.
Based on regional distribution, 138,804 male and female JO/COS hail from Region 4 (Calabarzon + Mimaropa); 107,700 from Metro Manila; and 100,572 from Central Visayas.
In a statement dated June 21, 2024, former CSC chair Karlo Nograles urged JO/COS hires in government as well as those holding casual, contractual, coterminous posts to take advantage of Career Service Eligibility – Preference Rating (CSE-PR) to boost their chances at landing regular jobs in government that would entitle them to benefits.
To qualify for the grant of additional points in the CSE, JO/COS employees must have rendered an aggregate of at least 10 years of service in the government with at least a Very Satisfactory (VS) performance rating or its equivalent in the latest/available two rating periods.
