Sablay na, tiba-tiba pa! MVP showers PLDT execs with 54% hike in pay and perks to P2.2 billion amid overspending scandal, profit collapse

Bilyonaryo Manny V. Pangilinan did not hold back on rewarding top executives with an extravagant compensation package of P2.19 billion last year despite a P48 billion budget overrun and a steep fall in profits.

This whopping sum is 54 percent higher than the P1.424 billion PLDT granted to its beleaguered telecom giant in 2021.

The compensation package is raising eyebrows, especially given that PLDT’s profits experienced a massive 60 percent decline year on year, dropping to only P10.49 billion in 2022.

The profit collapse was primarily due to PLDT’s overspend in capital expansion from 2019 to 2022, where management miscalculated the demand for 5G technology.

Pangilinan, who served as CEO and president until June 2021, is among the executives currently facing a class action lawsuit in the United States for allegedly making false statements and failing to disclose the company’s massive overruns.

Despite these issues, PLDT’s top brass received a lavish pay raise with the top five highest earners – Al Panlilio, Marilyn A. Victorio-Aquino, Anabelle L. Chua, Menardo G. Jimenez, Jr. and Gina Marina P. Ordoñez – raking in a jaw-dropping P517 million in compensation in 2022, nearly double from P247 million in 2021.

Meanwhile, the rest of PLDT’s top executives received P1.673 billion in 2022, representing a 42 percent increase.

The largest bump was in “other compensation,” which consists of variable pay or short-term incentive plans tied to corporate and customer satisfaction objectives.

The top five executives received a 267 percent increase in “other compensation,” amounting to P349 million, while the rest of the top brass received a 68 percent increase, totaling P990 million.

While PLDT’s top executives received a huge windfall in 2022, the company’s directors, who are responsible for providing a check and balance on management, saw their compensation decline by four percent to P82 million.

Despite this decline, each director still receives a substantial P250,000 per board meeting and an additional P125,000 for each committee meeting, which is the highest compensation rate among Philippine corporations.

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