Congress urged to probe looming DBP-LBP merger
MANILA -Development Bank of the Philippines (DBP) supports and is even pushing for a probe in Congress of the Executive branch’s plan to merge it with Land Bank of the Philippines (LBP), saying this would provide an “alternative and viable” venue for its employees to air and address their concerns.
DBP management and workers alike are resisting the move, which the Governance Commission for Government-Owned or -Controlled Corporations (GCG) said does not need a new law to be done.
The GCG, which is under the Office of the President (OP), has submitted to the OP a study which concludes that existing laws give the President the authority to implement the merger without waiting for Congress to file and pass related bills.
On April 26, DBP in a statement thanked Sen. Risa Hontiveros for filing her proposed Senate Resolution No. 570, which would allow for a more extensive analysis and broader consultation with key stakeholders and resolve not just the legal issues but all the operational and personal issues voiced out by the affected employees of both DBP and LBP.
“We share the sentiments of our legislators on the need to undertake a rigorous and meticulous analysis of the proposal as the planned merger would entail a significant impact not only to the future of the two largest financial institutions of the government but also to the wider banking industry and to the Philippine economy in general,” DBP said.
The state bank’s management expressed unity with its employees in expressing concern on the impact of the merger on their livelihood and employment, their financial security and their current status as government employees.
The management “stands by our DBP union leaders in seeking alternative and viable platforms where their collective voices may be properly heard and their legitimate concerns may be effectively addressed,” they said.
“DBP believes that any congressional inquiry, in aid of legislation, will serve as a pivotal venue to facilitate healthy, dynamic, and robust discourses and enable all stakeholders to thresh out the myriad of issues surrounding the merger in order to arrive at the best possible approach that would redound to the best interests of the Filipino people,” they added.
Meanwhile, the GCG said on April 25 that it has not yet made a decision on proceeding with the merger—only that it has determined that this process does not require legislation to be done.
“We welcome all resolutions, inputs, and studies that will provide the commission better understanding and information to determine whether it is appropriate to merge the concerned government financial institutions,” GCG Commissioner Gideon Mortel said.
Mortel added that any further inquiry on the proposed merger will provide better light on whatever decision at which the GCG would arrive. INQ