Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Session
2126
House Bill No.

Introduced by Representatives PEDRO M. PANCHO, JOSELITO ANDREW R.
MENDOZA, LINABELLE RUTH R. VILLARICA and ARTURO B. ROBES

EXPLANATORY NOTE

The employees’ contributions as members of the Government Service Insurance
System and the Social Security System have lost its value. Their dreams, remain
unfulfilled when after rendering fifteen (15) years of service, they cannot even get a part
of the amount of compensation benefit for their honest and sincere dedication to their
duties. The money deducted from their salaries is invested by the government. However,
the principal including the interest do not go back to assure the government coffers
assistance to helpless employees who have rendered 20 years of service. This
discourages the workers from paying their dues as their contributions were invested in
wrong businesses. A loss of trust to the management of the concerned agencies is very
visible and the crooks remain unpunished. Their unlawful acts are tolerated. They are
even treated like kings for their nefarious activities. This is repeatedly committed in our
society especially in various departments of government. No one is imprisoned. Instead,
they are looked up to as demigods in their offices. The requests or applications for
advance loans are not given favorable considerations for the education of their children.
Yet the hundred million others are well accommodated like the private entrepreneurs.
This is despite the knowledge that they have participated in some illegal investments.

For this reason, Congress will now jointly move for the interest and bright future
of the employees’ children. The workers who have worked from fifteen (15) to twenty
(20) years can borrow the amount of P 100,000.00 for education or for starting-up a
business, that they will no longer have to wait to complete thirty (30) years of service
when their children are no longer interested to go to school as they are too old to study.

The billions of pesos collected from employees can be extended as loans. Not a
single centavo will come from the coffers or vaults of the GSIS and SSS. Under the new
scheme, the agency has no alternative except to grant the loan to deserving employees.
‘Their collateral will be their retirement benefits to be deducted from their monthly
contribution to their life security.


The GSIS and SSS shall issue a legal instrument guaranteed and approved by the
Department of Finance and Bangko Sentral ng Pilipinas. This will be honored upon
Presentation to the designated window of any private or public bank. This can be
rediscounted with the BSP for five (5) year credit line as a pay later policy until they find
the job to recover the released amount of the government.

This strategy can combat the financial problem of the parent. This will also help
the employees who have suffered and sacrificed for the sake of our young generation, to
have a good foundation for their education that remains unsolved, due to the selfish arm
of the agency to extend assistance to end the banishing dream of the government
workers in economic development.

In view of all the foregoing, approval of the attached bill is earnestly requested.

Rep. PEDRO M. PANCHO
2" District of Bulacan

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Rep. LINABELLE RUTH R. VILLARICA
4" District of Bulacan



Republic of the Philippines
HOUSE OF REPRESENTATIVES.
Quezon City, Metro Manila

FIFTEENTH CONGRESS
First Regular Session

House Bill No. __ 212 8

Introduced by Representatives PEDRO M. PANCHO, JOSELITO ANDREW R.
MENDOZA, LINABELLE RUTH R. VILLARICA and ARTURO B. ROBES

"AN ACT AUTHORIZING THE ISSUANCE OF LEGAL INSTRUMENT TO COVER
THE FUNDS FOR THE CHARACTER LOANS TO THE GOVERNMENT AND
PRIVATE WORKERS.”

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

SECTION 1. The GSIS and the SSS are hereby authorized to grant an advance
joans in the amount of P100,000.00 to government and private employees who have
rendered 15 to 20 years of continuous service to improve their life future of their
children.

SEC. 2. The GSIS and SSS shall formulate and promulgate the necessary
guidelines for the proper implementation of this Act.

‘SEC. 3. This Act shall take effect upon its approval.

APPROVED,