Bill proposes higher wages, benefits for BIR employees

BIR head office

The head office of the Bureau of Internal Revenue in Quezon City. (Photo from AFP)

Employees of the Bureau of Internal Revenue (BIR) deserve better pay and incentives to curb corruption in the agency, according to a bill filed by Speaker Pantaleon Alvarez and Rep. Dakila Chua.

House Bill 4973 seeks to exempt BIR workers from the Salary Standardization Law so that they could receive higher wages and benefits.

It also aims to “eliminate corruption and professionalize the ranks of revenue officials and employees.”

In a news release, Alvarez cited news reports that many employees of the BIR were leaving the agency because of their “starvation wage.”

The authors noted that systemic corruption had been hounding the bureau, with many cases already filed against erring officials.

“However, for true reform to happen corruption should be addressed at its roots — low salaries and the lack of incentives that target the need of BIR personnel,” Alvarez said. “If wages are too low for revenuers to support themselves and their dependents, the more likely they are to engage in corrupt behavior.”

The two lawmakers noted that recruiting and retaining high-performing employees was a major challenge for tax authorities.

While salaries for entry-level lawyers and accountants are at par with the private sector, room for career growth is lacking, they said.

For instance, they noted that promotion to Attorney III and higher positions is limited due to small number of available plantilla positions. And those already in these positions can only hope for a promotion if they could become Assistant Chiefs (Attorney IV) or Chiefs (Attorney V).

“As a result, in recent years, there has been a steady outflow of professionals and technical personnel in the bureau,” Alvarez said.

Under the proposal, the BIR would be authorized to set up its own compensation and position classification system under the principle of equal pay for work of equal value.

Wages would be generally comparable with those in the private sector and in accordance with minimum wage laws.

The new system would be determined through a comprehensive audit of actual duties and responsibilities of BIR officials and employees..

There would also be a periodic review of government compensation rates, taking into account the performance of the bureau, its overall contribution to the national economy, and inflation, among other factors. /atm

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