DBM releases P22.3-B pension for uniformed personnel

The government has released P22.3 billion to cover additional pension benefits of retired military and uniformed personnel from June to December 2019.

The Department of Budget and Management (DBM) yesterday said the amount was released to the Departments of National Defense and the Interior and Local Government, National Mapping and Resource Information Authority and the Philippine Coast Guard.

Last year, the Senate and the House of Representatives issued Congress Joint Resolution No. 1, series of 2018, increasing the base pay of all military and uniformed employees.

Under the current system, the pension requirements of these personnel are automatically indexed to the current base pay scheme for those in active service, pursuant to Presidential Decree No. 1638, Republic Act 5976, RA 8551 and RA 9263.

The indexation of the pension was temporarily suspended under Item III of JR No. 1, but the suspension was lifted last Jan. 1.

The DBM said the pension benefits of retired personnel should increase alongside the salary hike of those active in the service.

It said the pension differential from January to May 2019 will be acted upon separately, subject to the availability of funds.

Earlier, the inter-agency Development Budget Coordination Council (DBCC) cited the need to implement reforms in the country’s military pension system to check the ballooning cost of military pension, covered under the national budget.