BUSINESS
Advocates Philippines
ABS-CBN Denies Claims Over Pension Fund, Calls Reports Misleading
Photo credit: ABS-CBN
The ABS-CBN Corporation has rejected what it described as continued public relations attacks linked to internal disagreements within the Lopez family regarding the company’s direction, financial decisions, and retirement obligations.
In a statement, the company said recent reports focusing on its retirement fund were presented as concerns for employee welfare but, from its perspective, misrepresented internal discussions and financial developments.
ABS-CBN said internal records it cited showed that one director had proposed shutting down the company outright, while the majority of the board reportedly supported continued financial backing instead of liquidation. The company said this approach was intended to prioritize employees, retirees, and other stakeholders during a period of financial difficulty.
The company also addressed its pension fund, saying the decline was largely due to payouts made to nearly 6,000 employees retrenched following the denial of its broadcast franchise in 2020. It said this reflected its efforts to meet obligations to affected workers despite the company’s financial strain.
Following the denial of its franchise by Congress and the shutdown of its free-to-air operations in 2020, ABS-CBN underwent large-scale retrenchments and restructuring, leading to significant financial losses and ongoing recovery efforts in its remaining businesses.
ABS-CBN dismissed allegations that 68 individuals received preferential treatment in retirement payouts, saying these claims were inaccurate and had already been explained to its board and Compensation Committee. The company said most of the individuals referred to were retirees who either received partial benefits or agreed to defer full payment due to the company’s financial position, allowing separation pay for thousands of employees to be prioritized.
The company also denied claims that a ₱2 billion capital infusion would be used to settle retirement obligations, saying these allegations had been refuted by most members of the board.
Despite financial challenges in recent years, ABS-CBN said it has shown steady improvement and continues to operate under its board and the Lopez family. It added that its direction remains aligned with the values of its founder, Eugenio Lopez Sr., who emphasized public service as the company’s core mission.
In a statement, the company said recent reports focusing on its retirement fund were presented as concerns for employee welfare but, from its perspective, misrepresented internal discussions and financial developments.
ABS-CBN said internal records it cited showed that one director had proposed shutting down the company outright, while the majority of the board reportedly supported continued financial backing instead of liquidation. The company said this approach was intended to prioritize employees, retirees, and other stakeholders during a period of financial difficulty.
The company also addressed its pension fund, saying the decline was largely due to payouts made to nearly 6,000 employees retrenched following the denial of its broadcast franchise in 2020. It said this reflected its efforts to meet obligations to affected workers despite the company’s financial strain.
Following the denial of its franchise by Congress and the shutdown of its free-to-air operations in 2020, ABS-CBN underwent large-scale retrenchments and restructuring, leading to significant financial losses and ongoing recovery efforts in its remaining businesses.
ABS-CBN dismissed allegations that 68 individuals received preferential treatment in retirement payouts, saying these claims were inaccurate and had already been explained to its board and Compensation Committee. The company said most of the individuals referred to were retirees who either received partial benefits or agreed to defer full payment due to the company’s financial position, allowing separation pay for thousands of employees to be prioritized.
The company also denied claims that a ₱2 billion capital infusion would be used to settle retirement obligations, saying these allegations had been refuted by most members of the board.
Despite financial challenges in recent years, ABS-CBN said it has shown steady improvement and continues to operate under its board and the Lopez family. It added that its direction remains aligned with the values of its founder, Eugenio Lopez Sr., who emphasized public service as the company’s core mission.
Apr 15, 2026
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