President Rodrigo Duterte will certify as urgent a proposed law suggesting that pension payments for military and uniformed personnel may only start at age 60 instead of 56, the Palace said on Thursday.
Presidential Spokesman Salvador Panelo said the bill, which was proposed by the Department of National Defense, might be certified as urgent by the President following complaints from the military personnel about their pension.
“I think some of them are complaining about their pension, considering that the Armed Forces are involved in our fight against terrorism, communism, and rebellion. We have lost a lot of men already,” Panelo said in a Palace press briefing.
According to Panelo, the President made the decision during the Cabinet meeting on Thursday.
Under the Unified Military and Uniformed Services Personnel Separation, Retirement, and Pension Bill, there will be reforms in the retirement and pension system of the military and uniformed service personnel.
Active members of the Armed Forces of the Philippines may only start to receive their pension payments at the age of 60, it said.
The proposed legislation also sets the new compulsory retirement age from 56 years old to 60, with at least 20 years of satisfactory active service.
The lump sum upon retirement or separation would only be at 18 months, the proposed law recommends, showing an immense disparity from the current 36 months of lump sum option.
Meanwhile, for those wounded or killed in action, the pension rate will be raised to 90 percent of base pay, including the longevity pay regardless of years of active service.
The proposal also said that surviving beneficiaries shall receive 75 percent of the pension, adding that the pension for a disability benefit shall “begin immediately.”
Asked if the “disparity” of the bill’s provisions will cost the President the support of the armed troops, Panelo said: “No, I don’t think so.”
He shrugged off possible opposition to the bill, saying that the measure will be “beneficial” to the active soldiers of the country.
“That measure is designed for their benefit. If the retirement were at 56 [years old], then your job will be over. If it were at 60, then you will have an extension of four years,” he said.
“They want that. They do not want to retire early. When you will retire at 56, you will lose your job. In 60, you can still work. I really think 56 is early retirement. It’s like you’re wasting the schooling that the government taught you. You retire early then you will not be doing anything after,” he said.
Panelo added that Duterte has always assured the military of his full support by doubling their salaries, enhancing their equipment to fend off enemies, and improving their benefits.
