PNB Retirees Urge Supreme Court to Rule on Unpaid Allowances Petition

Retired employees of the Philippine National Bank (PNB) are urging the Supreme Court (SC) to expedite the decision on their petition for the release of their unpaid cost of living allowance (COLA) and amelioration allowance. Lawyer Goldelio Rivera, who represents the retirees, stated in an ambush interview that they held a prayer rally before the SC to "express their sentiment against the delaying tactics of the PNB." According to Rivera, the estimated total amount required for payment is P1 billion, which is sought by approximately 8,000 retired and incumbent employees. The issue dates back to 2006 when 60 incumbent officers and 15 former PNB employees filed a case seeking payment of their COLA, back pay, and amelioration allowance from November 1989 to May 1996, or until their separation from service. Petitioners argued that prior to the enactment of the Salary Standardization Law, they were receiving allowances and COLA equivalent to 40% of their basic salary or P300, whichever was higher. However, they claim that after the law's enactment and the subsequent circular from the Department of Budget and Management (DBM), PNB discontinued the payment of their COLA and other allowances, despite pronouncements from the SC that the circular was unenforceable. Initially, the regional trial court directed PNB to pay the petitioners, as well as its former and incumbent officers, the back pay for their COLA and special amelioration allowance, amounting to 40% and 10% of their basic salary, respectively, from 1989 to 1996 or up to their separation from service. This ruling was affirmed by the Court of Appeals (CA), prompting PNB to elevate the matter to the SC. In 2023, the SC Third Division denied PNB's motion and affirmed the CA's ruling. The SC noted that PNB was given several opportunities to demonstrate why the respondents were not entitled to their monetary claims, but instead, it "insisted on employing delays, filing unnecessary pleadings, and asking for several postponements." GMA News Online has reached out to PNB for comment and will publish it once available. —AOL, GMA News