NINETEENTH CONGRESS OF THE ] 
REPUBLIC OF THE PHILIPPINES ] 
First Regular Session 
]
SENATE
S.B. No. 944
fteiuntc
•22 m-r «0 35
\'
RESEIVEB iVj
Introduced by SEN. WIN GATCHALIAN
AN ACT
LOWERING THE COMPULSORY AND OPTIONAL RETIREMENT AGE OF 
GOVERNMENT EMPLOYEES, AMENDING FOR THE PURPOSE SECTIONS 
13(b) AND 13-A OF REPUBLIC ACT NO. 8291, OTHERWISE KNOWN AS THE 
GOVERNMENT SERVICE INSURANCE SYSTEM ACT OF 1997
EXPLANATORY NOTE
This legislative measure seeks to reduce the optional retirement age of all 
government employees from sixty (60) years to fifty-five (55) years, and the 
compulsory retirement age from sixty-five (65) to sixty (60) years.
Lowering the compulsory and optional retirement age would allow government 
employees to fully reap the fruits of their retirement benefits after dedicating long 
years in government service. Furthermore, the retirees would be given a chance to 
venture Into other fields of endeavor, making them self-sufficient and financially 
independent.
This bill also seeks to address the unemployment problem in our country. An 
independent survey reveals that despite reports of economic growth, the Philippines 
still relatively has one of the highest unemployment rates in Asia. Based on the latest


labor force survey (LFS) data,1 the official unemployment rate in the country is at 
5.8% in March 2022. The latest available data from the IMF2 reveals that the 
unemployment rates of most ASEAN economies remain to be relatively lower than the 
Philippines, for instance: China (3.7%), Vietnam (2.4%j, Indonesia (6%), Malaysia 
(4.5%), and Thailand (1%).
If approved into law, and when the elder set retires early, there will be 
employment opportunities for more Filipinos, particularly the younger generation who 
are more adept in new methods and technological advaojcements which are now 
becoming essential in the workplace.
Hence, the immediate passage of this bill Is earr oughj
WIN/GATCmLIAN
1 https://psa.gov.ph/statistics/survey/labor-and-ennployment/labor-force-
survey/title/Employment%20Rate°/o20in%20March%202022%20is%20Estimated%20at%2094.2%20
Percent
2 https://www.imf.Org/external/datamapper/LUR@WEO/APQ/VNM/THA/MYS/CHN/IDN/PHL


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
S.B. No.
SENATE
944
•22 WG-1 WO 35
RECEIVED 3't,
Introduced by SEN. WIN GATCHALIAN
AN ACT
LOWERING THE COMPULSORY AND OPTIONAL RETIREMENT AGE OF 
GOVERNMENT EMPLOYEES, AMENDING FOR THE PURPOSE SECTIONS 
13(b) AND 13-A OF REPUBLIC ACT NO. 8291, OTHERWISE KNOWN AS THE 
GOVERNMENT SERVICE INSURANCE SYSTEM ACT OF 1997
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
1 
SEC. 1. Section 13 (b) of Republic Act No. 8291 (RA 8291), otherwise known
2 
as "The Government Service Insurance System Act of 1997" is hereby further
3 
amended to read as follows:
4 
"SECTION 13. Retirement Benefits. — (a) Retirement benefit shall be:
5 
(1) the lump sum payment as defined in this Act payable at the time
6 
of retirement plus an old-age pension benefit equal to the basic
7 
monthly pension payable monthly for life, starting upon expiration of
8 
the five-year (5) guaranteed period covered by the lump sum; or
9 
(2) cash payment equivalent to eighteen (18) months of his basic
10 
monthly pension plus monthly pension for life payable Immediately
11 
with no five-year (5) guarantee.
12 
(b) Unless the service is extended by appropriate authorities,
13 
retirement shall be compulsory for an employee at SIXTY (60) [sixty-
14 
five (65)] years of age with at least fifteen (15) years of service:


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Provided, That if he has less than fifteen (15) years of serv ce, he may 
be allowed to continue in the service in accordance with existing civil 
service rules and regulations; PROVIDED, FURTHER, THAT ALL 
EMPLOYEES WHO, AT THE TIME OF EFFECT/ITY OF THIS ACT 
ARE SIXTY-ONE YEARS OF AGE AND ABOVE SHALL RETIRE 
UNDER THE FOLLOWING PHASES:
(1) THOSE WITHIN THE AGES OF SIXTY-FOUR (64) TO SIXTY- 
FIVE YEARS (65) OLD SHALL BE RETIRED DURING THE FIRST 
YEAR OF IMPLEMENTATION OF THIS ACT;
(2) THOSE WITHIN THE AGES OF SIXTY-TWO (62) TO SIXTY- 
THREE (63) YEARS OLD SHALL BE RETIRED ON THE SECOND 
YEAR OF IMPLEMENTATION, AND
(3) THOSE WHO ARE SIXTY-ONE (61) YEARS OF AGE SHALL 
BE RETIRED ON THE THIRD YEAR OF IMPLEMENTATION."
SEC. 2. Section 13-A of RA 8291 is hereby further amended to read as follows: 
"SECTION 13-A. Conditions for Entitlement. — A member who retires 
from the service shall be entitled to the retirement benefits in paragraph 
(a) of Section 13 hereof: Provided, That:
(1) he has rendered at least fifteen (15) years of service;
(2) he is at least FIFTY-FIVE (55) [sixty (60)] years of age at the time 
of retirement; and
(3) he is not receiving a monthly pension benefit from permanent total 
disability.
SEC. 3. Implementing Rules and Regulations. - Within sixty (60) days upon the 
approval of this Act, the Government Service Insurance System shall, in consultation 
with the various stakeholders, formulate the rules and regulations necessary for the 
proper implementation of this Act.
SEC. 4. Repealing Clause. - Ail laws, acts, presidential cecrees, executive 
orders, administrative orders, rules and regulations, or parts thereof, inconsistent with


or contrary to the provisions of this Act are hereby ainended, modified or repealed 
accordingly.
SEC. 5. Effectivity - This Act shall take effect fifteen (15) days after its 
publication in at least two (2) newspapers of general circulation.
Approved,