EIGHTEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
S E N A T E
s. No. 277
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JU L-8 P2 51
RECOVED t V .
Introduced by SENATOR MANUEL "LITO" M. LAPID
AN ACT
AM EN DING  SECTION 9 OF REPUBLIC ACT NO. 82 91 , 
OTHERW ISE KNOW N AS THE GOVERNMENT SERVICE INSURANCE SYSTEM
ACT OF 1997
EXPLANATORY NOTE
The State has been successful in making salaries and compensation of 
government employees competitive with their private sector counterparts. However, 
much work still needs to be done in the provision of truly competitive compensation 
packages that will ensure the dedicated and long-term service of a competent public
sector workforce.
One component of a competitive compensation package is a good retirement 
pian. Under the GSIS Act and its impiementing rules and regulations, the monthly 
pension upon voluntary retirement is equivalent to at least Five Thousand Pesos (Php 
5,000.00) and not more than ninety percent (90% ) of the average monthly
compensation.
The present measure proposes to set all government employees on equal footing 
by raising the monthly pension provided under the GSIS Act such that it is equal to that 
provided under R.A. 9946. By so doing, the proponent hopes not only to give adequate


reward to incumbent government employees who have reached their twilight years 
during the length o f their public service, but also to provide compensation packages 
truly competitive with the privete sector.
TO " M. LAPID
Senator


EIGHTEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
S. No.
S E N A T E
277
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'19 
JU L-8 P2 52
RECEIVE :>'?
Introduced by Senator Manuel "Lito" M. Lapid
¥
AN ACT
AMENDING SECTION 9 OF REPUBLIC ACT NO. 8291, 
OTHERWISE KNOWN AS THE GOVERNMENT SERVICE INSURANCE SYSTEM
ACT OF 1997
Be it enacted by the Senate and House o f Representatives o f the Philippines 
in Congress assembled:
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Section 1. Section 9 of Republic Act No. 8291, otherwise known as the
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Government Service Insurance System (GSIS) Act of 1997, is hereby amended to
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read as follows:
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"SECTION 9. Computation of the Basic Monthly Pension. — (a)
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the basic monthly pension [is] SHALL BE equal to [;
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1) thirty-seven and one-half percent (37.5%) of the revalued
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average monthly compensation; plus
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2) two and one-half percent (2.5%) of said revalued average
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monthly compensation for each year of service in excess of fifteen (15)
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years: Provided, That the basic monthly pension shall not exceed
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ninety percent (90%) of the average monthly compensation.
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(b) The basic monthly pension may be adjusted upon the
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recommendation of the President and General Manager of the GSIS
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and approved by the President of the Philippines in accordance with
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the rules and regulations prescribed by the GSIS: Provided, however.


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That the basic monthly pension shall not be less than One 
thousand and three hundred pesos (P1,300.00): 
Provided, further.
That the basic monthly pension 
for those who 
have 
rendered 
at 
least twenty (20) years of service 
after the effectivity of this Act 
shall not be less than Two thousand for hundred pesos (P2,400.00) a 
month.] THE ACTUAL BASIC MONTHLY SALARY RECEIVED AT THE 
TIME OF THE EMPLOYEE'S RETIREMENT.
Sec. 2. Implementing Agency. -The Government Service Insurance System 
(“GSIS”) shall take charge of the enforcement and operation of this Act. The GSIS, in 
consultation with concerned government agencies, shall formulate the rules and 
regulations to implement this Act.
Sec. 3. Repealing Clause. — All laws, decrees, executive orders, issuances, 
rules and regulations, or parts thereof not consistent with the provisions of this Act 
are hereby repealed or modified accordingly.
Sec. 4. Effectivity Clause. —This Act shall take effect fifteen (I5) days after its 
publication in at least two (2) newspapers of general circulation.
Approved,
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