NINETEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE
S. No. 60
bills
Introduced by Senator FRANCIS G. ESCUDERO
AN ACT
PROVIDING AN INCREASE AND AN AUTOMATIC ADJUSTMENT 
MECHANISM IN THE PERSONNEL ECONOMIC RELIEF ALLOWANCE 
(PERA) GRANTED TO GOVERNMENT EMPLOYEES
EXPLANATORY NOTE
The Personnel Economic Relief Allowance (PERA) is a subsidy granted to all 
government workers as a form of assistance to help make ends meet in the face 
of economic crisis as well as higher prices. The original intent of the PERA in the 
early 1990s was as an emergency allowance to serve as a buffer against 
skyrocketing prices of basic commodities due to oil price hikes and instability in 
the Middle East.
However, higher gasoline prices, higher transportation fares and higher 
prices of basic commodities since the PERA's inception have proven that the PERA 
augments the earnings of a government worker not just as an emergency 
allowance, but as a major source of additional funding to be able to afford basic 
commodities. Further, any adjustments to the PERA will need legislation to further 
augment the value of the allowance versus economic reality.
This bill realizes the true worth and intent of the PERA as a form of 
economic relief, and proposes that the PERA be subject to an automatic yearly 
adjustment equivalent to any increase of the annual inflation rate in the country. 
This makes the PERA responsive to the needs of the government worker in the 
event of high prices.
In view of the foregoing circumstances, the immediate approval of this 
measure is earnestly urged.
FRANCIS G. ESCUDERO


NINETEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE 
S. B. No. 60
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BILLS & INDEX
Introduced by Senator FRANCIS G. ESCUDERO
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AN ACT
PROVIDING AN INCREASE AND AN AUTOMATIC ADJUSTMENT 
MECHANISM IN THE PERSONNEL ECONOMIC RELIEF ALLOWANCE 
(PERA) GRANTED TO GOVERNMENT EMPLOYEES
Be it enacted by the Senate and the House of Representatives of the 
Philippines in Congress assembled:
Section 1. Personnel Economic Relief Allowance (PERA). - The Personnel 
Economic Relief Allowance being granted to employees of the government shall 
be subject to an automatic yearly adjustment equivalent to any increase of the 
annual inflation rate in the country.
Concomitantly, upon the effectivity of this Act, the current PERA in the 
amount of Two Thousand Pesos (P2,000) per month is hereby adjusted to Four 
Thousand (P4,000) per month.
Sec. 2. Coverage. The PERA shall be granted to civilian government 
personnel whether employed by the national or local governments, appointive or 
elective, and whether occupying regular, contractual, or casual positions, whose 
positions are covered by Republic Act No. 6758, the "Compensation and Position 
Classification Act of 1989," as amended, as well as military and uniformed 
personnel: Provided, That government personnel stationed abroad already 
receiving overseas allowances shall not be entitled to the provisions of this Act.
Sec. 3. Appropriations. For the first year of the implementation of this Act, 
funds necessary for the PERA of national and local government agencies shall be 
charged against savings, which for this purpose includes unreleased 
appropriations and other programmed appropriations. Thereafter, the amount 
necessary shall be provided in the annual General Appropriations Act.
Sec. 4. Implementing Rules and Regulations. The Department of Budget 
and Management shall issue the corresponding implementing rules and 
regulations within fifteen days from the effectivity of this Act.


Sec. 5. Repealing Clause. All laws, decrees, resolutions, orders, or parts 
thereof inconsistent with this Act are hereby repealed, amended or modified 
accordingly.
Sec. 6. EffectMty. This Act shall take effect fifteen (15) days after the 
publication in the Official Gazette or in one newspaper off general circulation.
Approved,