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COA asks AFP-CES 'to pay promptly' P3.25-M backwages of illegally dismissed employee

Published Jul 30, 2025 01:40 pm
After more than two decades fighting for her benefits, the Commission on Audit (COA) asked the Armed Forces of the Philippines-Commissary and Exchange Services (AFP-CES) to “pay promptly” the P3.25 million in backwages sought by an illegally dismissed employee.
Ordered to be paid promptly by AFP-CES was Julieta A. Palafox, who was illegally dismissed in 2001 and whose illegal dismissal case even reached the Court of Appeals (CA).
Palafox was hired by AFP-CES as a regular employee occupying the position of clerk1/typist. However, Palafox and her 64 co-employees were forced to undergo an indefinite leave of absence without pay with an alleged conditional promise that they would be allowed to return as soon as AFP-CES' tax subsidy was released.
Palafox and her co-workers were not reinstated.
The AFP-CES is a unit that manages the operations of all commissary facilities in the military establishments for the benefit of the veterans, their widows and orphans, and all members of the AFP and their dependents.
On April 11, 2017, the Civil Service Commission (CSC) ruled that Palafox was illegally dismissed by the AFP-CES, and the latter was ordered to reinstate her and pay her backwages from the time she was illegally terminated in 2001 until her actual reinstatement.
The case reached the CA which modified the CSC decision and ruled that the backwages and other monetary award should be computed from the time she was illegally dismissed until her reinstatement.
The computation for backwages reached P3,662,206.09, the amount Palafox sought when she filed the petition before the COA.
In its decision, the COA granted the claim in the amount of P3,252,729 as there was no data when Palafox's mandatory retirement would be.
"Thus, this Commission shall grant the petition based on the computation by the audit team leader and the supervising auditor, in the amount of P3,252,729, subject to adjustment should Ms. Palafox's mandatory retirement be earlier than the entry of judgment issued on Sept. 28, 2022," the decision stated.
Also, the COA said that Palafox should be promptly paid as she has been imploring for monetary claims for more than two decades.
The seven-page decision was signed by Chairperson Gamaliel A. Cordoba and Commissioners Roland Cafe Pondoc and Mario G. Lipana.
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