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Republic of the Philippines
HOUSE OF REPRESENTATIVE!
Quezon City

SIXTEENTH CONGRESS
First Regular Session

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79
HOUSE BILL No.

Introduced by BAYAN MUNA.
Representatives NERI J. COLMENARES and CARLOS ISAGANI T. ZARATE

AN ACT INCREASING PENSIONS
UNDER THE SOCIAL SECURITY SYSTEM,
AMENDING FOR THE PURPOSE SECTION 12 OF R.A. 1161, AS AMENDED,
OTHERWISE KNOWN AS THE SOCIAL SECURITY LAW

EXPLANATORY NOTE

House Bill 6748 increasing the pensions of retired SSS members was passed by the House of
Representatives last Congress. Unfortunately, its counterpart bill in the Senate failed to pass. We
need to pass this Bill once more in the earliest possible time. ‘The 16" Congress will always be
remembered by our senior citizens should we succeed in this historic task. We ask for its immediate
approval.

A large number of SSS pensioners have farther suffered difficulties owing to the continuing
escalation of the cost of living in the country, which is| due, in large part, to the downturn of the
global economy. The amount that these retirees receive as their monthly pension is rendered sadly
inadequate to meet even the barest of their needs.

Under the new Social Security Act, otherwise known as Republic Act No. 8262, SSS
members with at least 10 credited years of service are provided a monthly pension of P1,200.00,
while those with 20 credited years are given P2,400.00. Those who retired under the old SSS Law,
R.A. 1161, are even more hard pressed because their monthly pension pays much less.

During the 15° Congress, House Bill 4365 was filed by Bayan Muna Party-List that sought
to increase the minimum SSS pension to P7,000. Bayan Muna launched a nationwide campaign to
gather support for the said bill to be enacted into law. Thousands of SSS pensioners and senior
citizens, as well as Local Government Units from all over the country, responded through petitions,
resolutions, letters, and telephone calls/messages which only reflected that there was indeed a
clamor for higher SSS pension rate. After a series of congressional hearings with consultations with
Senior Citizens and the SSS management in between, however, Congress was able to pass on third
reading HB 6748 adding only P1,000 - P2,000 to the current minimum SSS Pension. However, the
Senate failed to pass their counterpart bills then authored by four Senators.



While also pushing for an increase in the SSS pension, the authors believe that there was no
need for a corresponding increase in the SSS premium to the pension increases because data on SSS
investments, income and collectibles from delinquent employers show that SSS is capable of doing
so. However, the premiums were inevitably increased by the President, and without a corresponding
increase in the pension rate.

‘This bill seeks to increase the current SSS pension rate to make it more responsive to the
basic necessities of SSS pensioners. Immediate passage of this bill is earnestly sought for the benefit
Of SSS pensioners who are mostly Senior Citizens with no other sources of income to support their,
and their family’s ever increasing needs.

‘We passed the SSS Pension Increase Bill in the 15" Congress. Let us give a resounding yes to
this bill in the 16% Congress and pass the SSS Pension Bill.

Approved,
Rep. NERI J. COLMEN: Rep. \s aun ZARATE
mm Muna Party List Bayan Mana Party List



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SIXTEENTH CONGRESS
First Regular Session

HOUSE BILLNo.___175

Introduced by BAYAN MUNA
Representatives NERI J. COLMENARES and CARLOS ISAGANI T. ZARATE.

AN ACT INCREASING PENSIONS
UNDER THE SOCIAL SECURITY SYSTEM,
AMENDING FOR THE PURPOSE SECTION 12 OF R.A. 1161, AS AMENDED,
OTHERWISE KNOWN AS THE SOCIAL SECURITY LAW

Be it enacted by the Senate and 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, is
hereby further amended to read as follows:
“SEC. 12. Monthly Pension. ~
(@) The monthly pension shall be the highest of the following
amounts:
“(1) The sum of the following:
“@) Three hundred pesos (P300); plus
“Gi) Twenty percent (20%) of the average monthly
salary credit; plus
“<Gii) Two percent (29%) of the average monthly salary
credit for each credited year of service in excess of ten (10)
years; ot
“Q) Forty percent (40%) of the average monthly salary
credit; or
“() One thousand pesos (P1,000): Pronided, That the
monthly pension shall 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)] FIVE THOUSAND PESOS (5,000.00)
[for members with at least ten (10) credited years of service and



‘Two thousand four hundred pesos (P2,400)] for those with twenty
(20) credited years of service.

“THE NEW INCREASES SHALL BE GIVEN IN TWO
EQUAL INSTALLMENTS AND MUST BE COMPLETED
IN THREE (3) YEARS AFTER THE EFFECTIVITY OF
THIS ACT.

“THE COMMISSION SHALL EQUITABLY AND.
PROPORTIONATELY ADJUST THE MONTHLY
PENSION OF OTHER ENTITLED MEMBERS OR
BENEFICIARIES INCLUDING THOSE WITH LESS
THAN TWENTY (20) CREDITED YEARS OF SERVICE.
TO PRESERVE THE INTEGRITY AND FAIRNESS OF
‘THE PENSION PROGRAM.”

SEC. 2, Stparabilty Clause. ~ Should any provision of this Act or any part thereof be declared invalid,

the other provisions, so far as they are separable from the invalid ones, shall remain in force and
effect.

SEC. 3. Repealing Clause. — Any law, presidential decree or issuance, executive order, letter of
instruction, administrative order, rule or regulation inconsistent with this Act is hereby repealed,
modified or amended accordingly.

SEC. 4. Effctinity Clause. ~ This Act shall take effect fifteen (15) days after its publication in at least
two (2) newspapers of general circulation.

Approved,