A teachers’ group yesterday urged the Department of Education to clarify its policy regarding its request to private financial institutions for a three-month moratorium on loan payments for public school teachers and non-teaching staff in typhoon-stricken areas of Luzon.
Education Secretary Sonny Angara announced his proposed moratorium last Friday, November 29.
It appealed to private financial institutions for a moratorium starting in January 2025 and lasting until March, with payments resuming in April 2025.
If granted, the measure would apply to DepEd employees who are verified residents of areas officially declared under a state of calamity since September this year in the wake of the onslaught of several typhoons.
But Teachers’ Dignity Coalition National Chairperson Benjo Basas said that while they are grateful to Angara for the initiative to lessen the burden on teachers and provide much-needed financial relief to teachers, especially those affected by recent destructive typhoons, there are also concerns based on past experiences during the COVID-19 pandemic where unclear policies on loan moratoriums led to unintended financial hardships for DepEd employees.
Basas pointed to complaints from teachers who faced penalties imposed by public and private lending agencies once payments resumed.
To address these concerns, Basas said the TDC proposed several measures for DepEd to consider.
“First, we propose establishing clear guidelines to ensure employees are not subjected to accrued interests or penalties during the moratorium period, as such financial burdens could undermine the intended relief and create additional challenges,” Basas said, adding the DepEd should forge “enforceable agreements with lending institutions, incorporating provisions to safeguard the rights and welfare of employees.”
Basas also said DepEd employees who prefer to continue their payments through the Automatic Payroll Deduction System (APDS) during the moratorium period should be allowed to do so, respecting their financial circumstances and ensuring equitable treatment for all.
Basas said these sentiments come directly from teachers in the field, gathered by the group through various forms of feedback and consultations.
“We believe that proactively addressing these concerns will restore confidence in the program and ensure its successful implementation,” the TDC chief added.
Overall, he said teachers lauded Angara’s move.
“We expressed our gratitude to Secretary Angara for exploring innovative solutions to alleviate the financial burdens of teachers,” he added.
In announcing the relief measure, Angara said DepEd has coordinated with the Bangko Sentral ng Pilipinas to ensure that current loans subject to the moratorium will not be classified as non-performing during the relief period.
The proposed measure, he added, would also cover all charges, costs, and interests.
Additionally, the DepEd chief said his office has also requested similar loan payment relief from the Government Service Insurance System for affected DepEd employees.
