MANILA, Philippines ? Malacañang is inclined to abolish government-owned and -controlled corporations (GOCCs) that are not performing well.
Presidential Communications Operations Secretary Herminio Coloma said the "direction'' being taken by the two-month-old Aquino administration was now toward ensuring that all GOCCs were "operating viably or able to sustain their operations.''
"And if they cannot demonstrate the capacity for viable operations then it is imperative that due consideration be given to phasing them out,'' Coloma told reporters at a Palace briefing.
Coloma made the statement after he was asked to comment on Sen. Franklin Drilon's assertion that 15 non-performing GOCCs would be abolished.
But Coloma said he did not have any specific information on the GOCCs to be abolished, adding that Budget Secretary Florencio Abad would have that report.
He said the budget department was monitoring these GOCCs and budget officials were "wary of giving continued support or subsidies to GOCCs that are not performing accordingly.''
Asked whether the government will grant something to employees whose GOCCs would be abolished, Coloma said there would be an effort to "alleviate the plight of employees" but conceded this would depend "on the capacity of the GOCCs concerned.''