The government has released P16.4 billion under Small Business Wage Subsidy (SBWS) program, according to the Department of Finance (DOF).
In a statement, the DOF said the first tranche of the program extended P5,000 to P8,000 each for 2.1 million workers as of May 12.
SBWS subsidies were credited to the beneficiaries’ bank or PayMaya accounts or sent through cash remittance via MLhuillier Financial Services.
According to the DOF, the initiative is one of the intervention programs that the Duterte administration has rolled out in support of low-income families, workers of small businesses and other vulnerable sectors hardest hit by the (coronavirus disease 2019 (Covid-19) pandemic’s
economic fallout.
It added these these programs are aligned with the government’s priorities of saving lives and protecting communities amid this global health crisis.
According to Finance Assistant Secretary Antonio Joselito Lambino II, the DOF tapped MLhuillier Financial Services Inc. as the partner-remittance center of the Social Security System in the disbursement of wage subsidies to unbanked beneficiaries.
SSS President and CEO Aurora C. Ignacio reported that almost 160,000 employers submitted applications for the program as the applications ended on May 8, 2020.
“The SSS is currently processing them, but so far, the applications for around 2.94 million employees have been approved according to program criteria,” Ignacio said. “This represents around 86 percent of the program’s target of 3.4 million small business employees.”
The national government is providing the wage subsidy to affected employees of small businesses to help mitigate the impact of the quarantine measures imposed by the national government and local government units to prevent the spread of Covid-19.
This wage subsidy shall be given for up to two months so that affected small businesses are able to retain their employees during the quarantine period, the DOF said.
Payouts for the first tranche of the subsidies began on April 30, one day ahead of the announced May 1 to 15 schedule of release. Payouts for the second tranche are scheduled for May 16 to 31, according to the DOF.