Students may dropout of college after subsidy slashes, senator warns

November 21, 2024 | 5:53pm

MANILA, Philippines — Sen. Sherwin Gatchalian lamented the cuts on government subsidies for college students, saying that this may lead to more learners dropping out of school. 

Gatchalian, who is the co-chair of the Second Congressional Commission on Education, raised that the Commission on Higher Education’s (CHED) UniFAST Memorandum Circular 5 reduced the students’ Tertiary Education Subsidy (TES). 

Under the memo, TES students in private schools used to get P60,000. Under the new memo, they could only get P20,000. 

Meanwhile, students in public higher education institutions will now only get P20,000 from the previous P40,000. 

“It’s either they will drop out in the middle of the academic year or not continue their studies altogether. The amounts should be enough for students to graduate. I believe that the P60,000 and P40,000 are the amounts that will incentivize as well as cover the expenses of the student in order for them to finish,” Gatchalian said during the budget deliberations of the State Universities and Colleges (SUCs) on Tuesday. 

This move from CHED was meant to accommodate more TES beneficiaries, but Gatchalian said the goal is not just to get more students to start studying, but to make sure that they finish as well. 

Sen. Pia Cayetano, the budget sponsor, agreed with Gatchalian, but said that there is a need to look for creative solutions. 

“If you look at it in the long run, where do we get the money?” Cayetano asked. 

CHED’s TES cut is not the only indication of a limited fiscal space for SUCs. 

Opposition lawmaker Sen. Risa Hontiveros questioned why P7.06 billion intended for SUCs is allocated to unprogrammed funds.

Unprogrammed funds are standby appropriations that do not yet have allocated funding.

“The transfer to unprogrammed appropriations effectively de-prioritizes this crucial budget line item which should be dedicated to reimburse SUCs and covering their deficiencies. It raises concerns about the government’s commitment of fully funding the Universal Access to Quality Tertiary Education Act and ensuring the stability of our SUCs,” Hontiveros said. 

While senators have passed the General Appropriations Bill, amendments can still be made. Hontiveros said that she would work to restore the SUC’s budget. 

In a separate statement, Sen. JV Ejercito likewise vowed to fight for a higher budget for all SUCs, particularly the Polytechnic University of the Philippines (PUP). 

“Thousands of graduates enter the Philippine workforce every year thanks to this institution’s dedication to high-quality education. Last academic year alone, 19,230 graduates benefited from its programs,” Ejercito said of PUP.