Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City

NINETEENTH CONGRESS
First Regular Session

o, 2420

HOUSE BIL

Introduced by Representative Wilbert T. Lee

AN ACT PROVIDING AGRICULTURAL PENSION AND SOCIAL S!
BENEFITS TO FARMERS AND FISHERFOLK

URITY

EXPLANATORY NOTE

Article II, Section 9 of the 1987 Constitution provides that “[t]he State shall promote a
just and dynamic social order that will ensure the prosperity and independence of the nation
and free the people from poverty through policies that provide adequate social services.
promote full employment, a rising standard of living, and an improved quality of litle tor all.”

Despite their significant contribution to our country’s economy, farmers and fisherfolks
are reported to have the highest poverty incidences among the basic sectors in 2018. It was also
reported that farm workers are being paid an average daily wage of PhP 331.10 in 2019. the
lowest daily wage as compared to workers in the industry and service sectors.' This makes our
agricultural workers vulnerable to physical and economic risks. coupled with financial stress
due to zero savings or worse, indebtedness.”

Amid this appalling situation, it is undeniable that attention should be given to our
farmers and fisherfolks. According to the February 2022 Report on Labor Force Survey’, 10.86
million people are employed in the agriculture sector (agriculture, forestry, fishing and
aquaculture) with a 9.4 percent share of the total Gross Domestic Product (GDP) in the first
quarter of 2022'. This makes the agriculture sector one of the top 3 largest seeiuts of ou
economy. This hardworking and broad sector deserves no less than immediate action 10 aid
them in their plight

In the trials that our country has gone through, they continue to tirelessly work to
support their families and ensure adequate food supply in our country. Through this measure,

' PSATrends in Agricultural Wage Rates. 2017-2019

2 Food and Agricultural Policy Platform (11 July 2009) Towards Liberation trom Debt of Filipino Farmers.
Retrieved last 8 July 2022 from
btps://ap.fftc.org.tw/article/643#:~:text~Majority%200f%20farmers%20are%20poor.t0%20stay%20afloat%20i
$%20saddling.

° Philippine Statistical Authority (PSA)

“Ibid



we ean concretely show how we seriously value their diligence and sacrifices by ensuring that
once they reach old age and retire, the government will provide them a steady income through
a pension and social security benefit to meet their basic needs as well.

This representation recognizes the fundamental role of our farmers and fisherfolks and
strongly believes that we must give proper value to the contributions of farmers and fisherfolk
by making certain, through this measure. that once they retire, a modest pension scheme ean
lessen their burden and help them afford their basic needs. This can be possible through a
‘comprehensive pension and social security program for the benefit of agriculture workers. With
the ultimate goal of achieving a quality of life, the government should commit in providing
retirement and social security benefits to the very people who strive to provide food in every
household in our country.

(OW. WILBERT T. LEE
Representative
GRIPARTYLIST


Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City

NINETEENTH CONGRESS

First Regular Session

~ 2420

HOUSE BILL NO.

Introduced by Representative Wilbert T. Lee

AN ACT PROVIDIN PENSION AND SOCIAL SECURITY
BENEFITS TO FARMERS AND FISHERFOLK

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SEC. 1. Short Title. This Act shall be known as the “Agriculture Pension Act.”
SEC. 2. Declaration of Policy. It is hereby declared the policy of the State to:

a)

Establish, develop and promote sound and viable social security schemes suitable to

the needs of the people;

b)

Strengthen the agriculture sector through sustainable efforts to end hunger, achieve

food security. and improve the general health and nutrition of Filipinos:

©

Protect and promote the welfare of farmers and fisherfolk by through policies that
would abate their socio-economic risks and vulnerabilities with the end in view of
improving their quality of life; and

d) Provide and institutionalize a comprehensive pension and social security program for

the benefit of agricultural workers.

SEC. 3. Creation of the Farmers and Fisherfolk Social Security and Pension Program.
There is hereby established the "Farmers and Fisherfolk Social Security and Pension Program."
herein referred to as the “Program”, which shall provide farmers and fisherfolk a modest and

dependable source of income security upon their retirement when they reach their old age. The


Program shall consist of the comprehensive set of objectives. targets. and holistic approach in
the provision of sickness, maternity. disability. retirement, death, and funeral benefits to
farmers and fisherfolk. The said pension scheme shall be made consistent with the package
) and
relevant programs of the Department of Agriculture (DA) and the Philippine Crop Insurance
Corporation (PCIC).

benefits under existing Social Security program of the Social Security System (

SEC. 4, Implementing Agencies. The PCIC, an attached agency of the DA, and the SSS shall
be the primary implementing agencies of the provisions of this Act. To fulfill the goals of this
Act, they shall perform the following duties and functions:

a) The PCIC shall manage the registration system of eligible agricultural workers under
the Registry System for Basic Sectors in Agriculture (RSBSA) and provide the
necessary operational reports.

b)

The SSS and PCIC shall tap the expertise of other relevant government offices in the
formulation of the objectives, targets. and approaches under the Program.

©

‘The SSS shall manage the funds allocated and the social security and pension scheme
of the Program and maintain the required actuarial and financial reports.

d

The PCIC and the SSS shall perform other duties and functions necessary in the
efficient and effective implementation of this Act.

The PCIC and the SSS shall collaborate with and secure the technical assistance of the
DA in all stages of implementation of this Act. The DA shall ensure that the objectives
of the Program are met and shall evaluate and monitor the Program's contribution to
the productivity of the agricultural sector and the improvement of the quality of life of
farmers and fisherfolk.

SEC. 5. Appropriations. The amount necessary to carry out the initial implementation of this
‘Act shall be drawn from the savings of the national government. ‘Thereafier, the funds
necessary for the continuous implementation of the program shall be sourced from ten pereent
(10%) of the total annual duties collected from the importation of agricultural products. The
supplemental amount necessary for its implementation shall be included in the annual
appropriations of the DA.

SEC. 6. Implementing Rules and Regulations. Within ninety (90) days from the date of
effectivity of this Act, the PCIC shall, in consultation with the DA, SSS, the Department of
Budget and Management, Department of Finance, and other relevant stakeholders, formulate
the implementing rules and regulations for the proper implementation of this Act.

Sec. 7. Separability Clause. If any part or provision of this Act shall be declared
unconstitutional or invalid, other provisions hereof which are not affected thereby shall
continue to be in full force and effect.


See. 8. Repealing Clause. All laws, presidential decrees. executive orders, rules and
regulations, other issuances, and parts thereof, which are inconsistent with the provisions of
this Act, are hereby repealed or modified accordingly.

See. 9. Effectivity. This Act shall take effect fifteen (15) days following its publication in three
(3) newspapers of general circulation.

Approved,