SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
FIRST REGULAR SESSION 
SENATE 
SENATE .BILL NO. 
\ . 
220. 
" 
. 
,:$?11,r:? 
/ 
tfjH,;r t,1f ~'>_ 1;"'f'('(thl"l}, 
'13 
JUL 
INTR.oDUCED BY SENATOR JOSEPH VICTOR G. EJERCITO 
EXPLANATORY NOTE 
Under Republic Act No. 8282, or the Social Security Act of 1997, 
specifically in Section 12 (b) thereof, SSS members with at least ten (10) 
credited years of service are provided a monthly pension of Pl,200.00, 
while those with twenty (20) credited years are given P2,400.00. 
With the spiraling cost of living, especially in the prices of 
medicines and essential commodities, these amounts have been rendertlli 
woefully inadequate to meet even the barest needs of the SSS pensioners. 
Retirees prior to the effectivity of RA 8282 are even more hard 
pressed because their monthly pension is governed by the old Social 
Security Law of June 18,1954 (RA 1161) that pays very much less. 
Thus, it becomes imperative, in light of the social justice policy 
enshrined in the 1987 Philippine Constitution, to adjust the SSS pension 
rates to keep them fairly responsive to the basic necessities of private 
employment retirees. 
This measure is meant to carry out such adjustment through a 
two-pronged approach: (1) raising the minimum monthly pension to 
P3,000; and (2) annual increase of P500 until the minimum of P5,000 a 
month is reached. 
Additionally, this measure provides that the new 
monthly pension rates shall be applicable to all SSS members regardless 
of the effectivity of their retirement . 
. Early passage of this bill is thus . earnestly urged to \Provide 
immediate relief ,to the countless distressed SSS retirees. 
·csEs: 
JOSEPH VICTOR G. EJERCITO 


SIXTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
FIRST REGULAR SESSION 
) 
SENATE 
SENATE BILL NO. 
220 
,I"' 
-
;1;J> crt _lll ~) 
t 
{f>Jfh~f-t1ft~{l7~I'n';t'!'1\ij "" 
' 
'13 
JUL -"I 
F' (~ ::' 6 
INTRODUCED BY SENATOR JOSEPH VICTOR G. EJERCITO 
AN ACT 
INCREASING PENSIONS UNDER THE SOCIAL SECURITY SYSTEM 
AMENDING FOR THE PURPOSE SECTION 12 OF REPUBLIC AfT NO. 
1161, OTHERWISE KNOWN AS THE "SOCIAL SECURITY ACT OF 
1997" 
I 
Be it enacted by the Senate and the House of Representatives of the 
Philippines in Congress assembled: 
SECTION 1. 
Section 12 of Republic Act No. 1161, as amended by 
Republic Act No. 8282, otherwise known, as the Social Security Act is 
hereby further amended to read as follows: 
"SEC. 12. Monthly Pension. - (a) The monthly pension shall 
be the highest of the following amounts: 
(1) The sum of the following: 
(i) 
Three hundred pesos (P300.00); plus 
(ii) 
Twenty percent (20%) of the average monthly 
salary credit; plus 
(iii) 
Two percent (2%) of the average monthly salary 
credit for each credited year of service in excess 
often (10) years; or 
(2) Forty percent (40%) of the average monthly salary 
credit; or 


, , 
(3) One Thousand Pesos; Provided, That the monthl-¥.: 
pension in no case be paid for an aggregate amount of 
less than sixty (60) months 
(b) Notwithstanding the preceding paragraph, the minimum 
MONTHLY pension shall be [One thousand two hundred 
pesos (P1,200.00) for members with at least ten (10) credited 
years of service and Two thousand four hundred pesos 
(P2,400.00) for those with twenty (20) credited years of 
service] THREE THOUSAND PESOS (P3,000.00) IN THE 
SUCCEEDING YEARS STARTING JANUARY 200S. 
THE 
THREE THOUSAND MONTHLY PENSION BENEFIT SHALL 
BE INCREASED ANNUALLY BY FIVE HUNDRED PESOS 
(PSOO.OO) PER MONTH UNTIL THE MINIMUM MONTHLY 
PENSION 
SHALL 
REACH 
FIVE 
THOUSAND 
PESOS 
(PS,OOO.OO) 
PER MONTH. 
THE COMMISSION SHALL 
EQUITABLY ADJUST THE MONTHLY PENSIONS OF OTHER 
ENTITLED 
MEMBERS 
OR 
BENEFICIARIES 
WHOSE 
MONTHLY PENSIONS ARE HIGHER THAN THE MINIMUM 
MONTHLY PENSION TO PRESERVE THE INTEGRITY OF 
THE PENSION PROGRAM." 
SECTION 2. 
THE NEW MONTHLY PENSION AND ITS ANNUAL 
INCREMENT PROVIDED HEREIN SHALL APPLY TO ALL BENEFICIARIES 
REGARDLESS OF THE EFFECTIVITY OF THEIR RETIREMENT. 
SECTION 3. This Act shall take effect fifteen (1S) days after its complete 
publication in the Official Gazette or in at least two (2) national 
newspapers of general circulation, whichever comes earlier. 
Approved,