Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

16" CONGRESS
First Regular Session

HOUSE BILLNO, 2114

Introduced by REP. EVELINA G. ESCUDERO

EXPLANATORY NOTE

‘This bill 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 pric

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.

In view of the foregoing circumstances, the immediate approval of this measure is
camestly urged.



1
2
=
4
5
6
7
8
Ls

10

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

16" CONGRESS,
First Regular Session

HOUSE BILLNO,___ 2114

Introduced by REP. EVELINA G. ESCUDERO

, 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. Effectivity. This Act shall take effect fifteen (15) days after the publication in
the Official Gazette or in one newspaper off general circulation.

Approved,