The government has so far released P44 billion in wage subsidies to workers of small businesses to cushion the financial impact of state’s measures addressing the Covid-19 pandemic.
In a statement over the weekend, the Department of Finance (DOF) said payouts are already at more than 97 percent completion for the two tranches of Small Business Wage Subsidy (SBWS) program.
Finance Assistant Secretary Antonio Joselito G. Lambino II said the implementing agencies were able to accurately target intended beneficiaries and quickly distribute the subsidies to millions of employees with zero face-to-face contact because the government’s SBWS program took advantage of available technologies, cloud computing and electronic databases of the Social Security System (SSS) and the Bureau of Internal Revenue (BIR).
“As of June 11, around a month after the application deadline, payouts for both tranches of the program are at a combined 97.4-percent completion rate. For the first tranche, 3.05 million, or 98.8 percent of the 3.09 million qualified beneficiaries, have their SBWS ready for withdrawal from their bank or PayMaya accounts or for pick up from MLhuillier Kwarta Padala outlets,” Lambino said.
But he said the remaining employees—around 40,000—are awaiting confirmation requiring correction of their bank account numbers or cellphone numbers (for those who chose to receive their subsidy through PayMaya or MLhuillier).
“For the second tranche, 2.96 million, or 97.4 percent of beneficiaries, have their SBWS ready for withdrawal or pickup,” he said.
“This means that more than P44 billion-worth of subsidies for two months have been credited directly to the SBWS program’s intended beneficiaries in less than two months. What has allowed the government to quickly distribute the aid relatively smoothly was the use of automated processing and digital technologies in running the program,” he added.
Under the P51-billion SBWS program, each qualified worker is entitled to receive P5,000 to P8,000 monthly for two months.
Sought to clarify what happened to the remaining P7 billion, Lambino told the BusinessMirror that payouts are still ongoing for those who needed to correct their account information and other beneficiary details as well as those who may avail of the grievance procedure.
“We have also been following up for a few weeks now for confirmation on a few thousand payouts from a handful of banks under the PESONet system; will update again when the payout process is completed,” he said in a message.
Jointly implemented by the DOF, BIR and SSS, the program supports qualified employees of small businesses who did not get paid for at least two months due to the work stoppages resulting from the enhanced community quarantine (ECQ) and other containment measures imposed by the national and local governments since mid-March to prevent the spread of Covid-19.
The wage subsidies are either credited directly to the beneficiaries’ chosen banks or PayMaya e-wallet accounts or sent through cash remittance via MLhuillier Kwarta Padala.
The SBWS inter-agency task force is chaired by the DOF, represented by Lambino, and with SSS President-CEO Aurora Ignacio and BIR Deputy Commissioner Arnel Guballa as members.
This SBWS program is among a set of initiatives that comprise the largest social protection program in the history of the Philippines that the Duterte administration has rolled out in support of poor and low-income families, workers of small businesses, and other vulnerable sectors hardest hit by the economic fallout of the ECQ.
These aid programs for Filipinos who have lost their income or means of livelihood due to the containment measures are aligned with government’s priorities of saving lives and protecting communities amid this global health crisis, the DOF said.