DepEd NEU Dialogue

19 November 2013

Baguio City

Atty. Nora M. Saludares

Luzon Operations Group

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Maaasahan ngLingkod - Bayan

Specific initiatives launched to be …

more consultative

more transparent

more member-focused

Improving pension and

retirement programs

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Increased the minimum basic pension to Php5,000

Maaasahan ng

Lingkod - Bayan

5

Revoked the personal appearance

requirement for pensioners (ARAS)

Pensioners no longer required to visit GSIS for status renewal

* except those living in ARMM, abroad

NSO to determine pensioners’

status

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Restored Survivorship Benefit

Surviving spouses will now receive pension even if

gainfully employed or have other sources of income or

pension

Maaasahan ng

Lingkod - Bayan

Prior application for funeral benefit considered constructive notice of application for survivorship

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Revived payment of proportionate pension

Retirees’ pension now computed proportionately

from retirement date unlike before when pension was

paid a month after retirement date

Retroactive from Sept. 2009

Disbursed more than 286M to over 45,000 pensioners

Maaasahan ng

Lingkod - Bayan

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Holding of pre-retirement

counseling seminars

Held monthly at GSIS central and field

offices

Discuss various retirement modes; how-to’s

on computing retirement claims

Help choose the most beneficial retirement

option suited to lifestyle

Maaasahan ng

Lingkod - Bayan

Bringing GSIS services

closer to stakeholders

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Opened NCR-Pasig Extension Office

Covers more than 107,000 members and 15,000 pensioners in Pasig, Pateros, Taguig, Marikina and Rizal province

Facilitates better coordination with DepEDCentral Office in Pasig

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Established 35 service desks nationwide

For wider reach, GSIS has deployed 35 service desks in local government offices nationwide since March this year.

Desks accept loan applications, serves walk-in members and pensioners, transmits loan applications and forms to branch offices for processing

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GSIS expands service reach with LANDBANK’s 1,000 ATMs nationwide

Renewed partnership with LANDBANK

Launch of GSIS-LBP partnership in

Batangas, February 2011

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Deployed more GWAPS kiosks

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Deployed more GWAPS kiosks

Improving terms of

loan programs

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Liberalized terms of Php20K Emergency Loan

Waived 1% service fee

Reduced interest rate

to 6%

Members flocked to GSIS to apply for EL

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Emergency Assistance Package for members

and pensioners affected by typhoon Yolanda

For Members:

Lifted 12 monthly amortization payment before loan

renewal for emergency loans

For pensioners:

Opened Pensioners’ Emergency Loan of 20K; with LRI

Granted six-month moratorium for existing pension loans

Granted a six-month loan moratorium on existing loans;

payment to resume in May 2014

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Members with outstanding EL balance:

1. Higher credit limit of P40K

2. allowed to renew even without the required 12 monthly amortization payment for previous loan

Increased emergency loan (EL) credit limit,

relaxed req’ts for Cebu, Bohol, Zambo members

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Implemented a Housing Loan Remedial

and Restructuring Program

Condones all unpaid

penalties, surcharges

Grants extended payment

terms

Uses more systematic

and orderly manner of

accommodating

interested borrowers (by

appointment)

Maaasahan ng

Lingkod - Bayan

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Provided easier settlement of loan balance

for retiring members

Empowers retirees on how to settle outstanding

obligations, in whole or in part

No more forced deduction of housing loan from

retirement benefits

Separate collection facility for housing loan

Maaasahan ng

Lingkod - Bayan

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Enhanced Conso-loan program

Beginning September, GSIS waived penalties and

surcharges on all renewed and restructured conso-

loans of active members that are due and

demandable.

Retiring members will be charged 6%

penalty/surcharge per annum, if the last conso-loan

is due and demandable.

Maaasahan ng

Lingkod - Bayan

22

Opened Educational Assistance Loan

P4K loan to all active members regardless of salary grade

5 years to pay

P20 monthly amortization only

Maaasahan ng

Lingkod - Bayan

Providing responsive service

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Claim proceeds now

electronically credited via

eCards instead of checks

Ensures timely release of

benefits

Makes processing twice as

fast than traditional check

payment

Used e-Card in Paying Claims starting Oct 14, 2013

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Increased Employees’ Compensation benefits

Effective 31 May 2013

Maaasahan ng

Lingkod - Bayan

Increased EC funeral benefit from Php3,000 to

Php10,000

Resumed payment of survivorship pension of

qualified EC pensioners and dependents

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Settled claims of Paz Memorial Plan holders

Resumed engagement

with Paz Memorial to

render services to 1,800

fully-paid and active

plan holders.

Offered Prudential Life

Plan holders an exit

mechanism, to recover

up to 150% of contract

price

Maaasahan ng

Lingkod - Bayan

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200 GSIS Scholars for AY 2013-2014

Enhanced Scholarship Program

• Allowed low-income members to

send children to school

• Exclusive to children of GSIS

members

• Php20,000/semester

• Php2,000 monthly stipend

Updating of Records

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Restored full benefits of nearly 800,000 members

through MOAs

144 suspended agencies signed agreements with GSIS which

restored loan privileges of 798,130 employees (as of Sept.

2013)

Included DepEd’s 784,602 personnel whose premium-in-

arrears were finally updated after the signing of a historic

agreement among GSIS, DBM and DepEd in September 2012 in

Malacanang

Made possible by DBM’s payment of Php3.46 billion (50% of

total Php6.92 billion) representing unpaid compulsory

premium contributions of DepEd-government share.

Maaasahan ng

Lingkod - Bayan

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Updating of accounts

(DepEd, DBM, GSIS MOA Signing)

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Non-Suspension of Loan Privileges of

Employees in Suspended agencies

Employees working in agencies that are delayed, deficient in

premium payments will no longer be suspended beginning

July 2013

Suspended agencies may choose from any of 3 options to

restore regular status:

1. Full payment of premium delinquencies;

2. MOA with GSIS; and

3. Payment of at least 90% of any 3 consecutive months’

premium obligations; sign undertaking with GSIS to

enter into MOA.

Maaasahan ng

Lingkod - Bayan

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Posting and reconciliation of accounts

• Will soon deploy eBilling and eCollection, eGSIS

MO, web-based projects

Maaasahan ng

Lingkod - Bayan

• Formed Reconcilement Task Force

• Issued Statement of Loan Accounts (SOLA) to

members aged 59 y/o and above in DSWD and

DOH in NCR as pilot areas; soon in key provinces

Forged partnerships to

rationalize functions

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Rationalized home lending program

Php5-B for home

lending to GSIS

members through

Pag-IBIG Fund

Loan facility fully

utilized by more than

8,500 government EEs

Maaasahan ng

Lingkod - Bayan

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Transferred art works to the National Museum

National Museum now

manages more than 300

artworks of GSIS,

including the renowned

‘Parisian Life’

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Impact of Reforms

Maaasahan ng

Lingkod - Bayan

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Branch Office 2012 2013 Inc/Dec

Bacolod 71.03 91.57 +20.54

Batangas 53.29 89.12 +35.83

Bohol 71.54 93.28 +21.74

Bulacan 59.74 90.00 +30.26

Laguna 68.34 93.01 +24.67

Lucena 55.91 89.10 +33.19

Masbate 67.77 90.34 +22.57

Palawan 76.96 89.35 +12.39

Tuguegarao 70.18 89.28 +19.10

Dipolog 71.05 81.48 +10.43

Tagum 58.05 89.51 +31.46

Davao 76.71 85.57 +8.86

Kidapawan 78.81 88.20 +9.39

AVERAGE 67.64 89.22 +21.68

Cited by CSC for improved ARTA

ratings in service delivery

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An unqualified opinion means COA

believes that GSIS’S the financial

statements are sound and are presented

fairly "in all material respects".

Second time in a row that GSIS has received

an opinion.

COA unqualified opinion on GSIS’s

2012 financial position

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2012 Operational Efficiency

Maaasahan ng

Lingkod - Bayan

Php93.2 B in total comprehensive income

Php63.6 B disbursed for social insurance claims (retirement, pension,

disability and funeral benefits)

Php37.9 B in various loans which benefited more than 2.1 million

borrowers

Php930 M in dividends

Php1.8 B in cash gift

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Maaasahan ng

Lingkod - Bayan

2014 Directions

Proposed amendments to GSIS Charter to institutionalize member-

friendly policies, including:

• Members’ Bill of Rights

• Designation of beneficiary by single members before age 50

• Removal of remarriage and cohabitation as basis for cancellation of

survivorship benefit

• Increase in funeral benefit to Php30K

• No prescription period for claims

• Option of the member to claim his/her separation benefit even before

reaching age 60

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Maaasahan ng

Lingkod - Bayan

2014 Directions

Review of current life insurance policies – Enhanced Life Policy and Life

Endowment Policy

Pension program for uniformed personnel

Construction of GSIS branch office buildings in Quezon City, Bohol

and Cabanatuan

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GSIS: Maaasahan ng

Lingkod-Bayan

Maaasahan ng

Lingkod - Bayan