; RECEIVED

NINETEENTH CONGRESS
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez

House Bill No, 482
EXPLANATORY NOTE

The bill seeks to increase the monthly pension and disability benefits of retirees of the Department
of Foreign Affairs (DFA) to be at par with the current pay scale enjoyed by those in active service.

Article XVI, Section 8 of the 1987 Philippine Constitution mandates that "the State shall, from time
to time, review to upgrade the pensions and other benefits due to retirees of both the government
and private sectors.”

On the other hand, Section 62 of Republic Act No. 7157, otherwise known as the Philippine
Foreign Service Act of 1991, in part provides that “the President upon recommendation of the
Secretary may, as soon as practicable, submit for enactment by Congress a foreign affairs
retirement and disability system, taking into account the difficulties of foreign service personnel in
setting aside sufficient savings to take care of their eventual retirement in the Philippines due to
old age or some other disability, with the increased burden of establishing a home in the
Philippines after completion of their tour of duty abroad.”

This is an important step to duly compensate Philippine foreign service personnel whose
invaluable services to the country have helped advance Philippine interests, improve relations
with other countries, and protect Filipinos globally.

Personnel of the DFA are at the frontlines of Philippine foreign relations, sometimes risking their
lives under dangerous conditions in their countries of assignment. They face complex challenges
of living in foreign lands with different cultures, particularly as pioneers in opening new Posts.
They are primarily responsible for responding and attending immediately to Filipinos in distress
especially during critical times, disasters, security threats, and other crisis situations. Their
Patriotism, integrity, professionalism and genuine concern for the welfare of our kababayans here
and abroad are sincere expressions of their devotion to the country in achieving the aspirations
of the Filipino people

During their active service, the retired diplomats have demonstrated their resilience as the
Philippines’ first line of representation in dealing with a plethora of concerns. They have tirelessly
sought opportunities to promote Philippine trade, investment, tourism, and culture. They have
been the voice of the Filipino people overseas and have spearheaded the one country team
approach to matters of national interest. Their initiative, competence, professionalism and
creativity have resulted in enduring bilateral and multilateral partnerships, strategic agreements
and collaborative engagements that continue to be hamessed for our people's benefits.

These complex responsibilities require DFA personnel to be vigilant and ready to perform their
duties at all times. As specialists in the arena of diplomacy and citizen services abroad, foreign
service personnel deserve to be honored and cared for in their retirement through an adjustment

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of monthly pension, and thereby allowing them to afford a decent living in the face of inflation and
rising cost of living.

It is the intention of this bill to provide both present and future retirees of the foreign service
‘support that is adequate and responsive to their needs, and to reassure them that their dedication
and loyalty to the Filipino people is not forgotten.

In view of the foregoing, immediate approval of this bill is earnestly sought.

RUFYS B. RODRIGUEZ


NINETEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES }
First Regular Session

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez

House Bilt No. 482E

AN
ADJUSTING THE MONTHLY PENSION AND DISABILITY BENEFITS OF RETIREES OF THE
DEPARTMENT OF FOREIGN AFFAIRS.

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

Section 1. Short Title. The Act shall be known as the “Foreign Affairs Retirement and Disability
Benefits Act.”

Section 2. Covered Retirees and Retirement Benefits. This Act shall apply to all retired officers
and employees of the DFA who:

a. served in the Department for at least 15 years; and
b. are eligible to receive a monthly pension from the Government Service Insurance
System (GSIS).

They shall receive, during the residue of their natural life, an additional pension which shall
be the difference between their monthly pension and the highest monthly salary of an incumbent
officer or employee occupying the same or equivalent rank and subject to further adjustment as.
provided under this Act.

This Act shall also apply prospectively to DFA officers and employees who retired prior to
the effectivity of this Act.

Alllother officers and employees of the DFA who have also retired after serving in the DFA
but who have not met all the above mentioned requirements, shall instead be covered by
applicable benefits under the GSIS Act, as amended.

Section 3. Adjustment of Monthly Pension. The monthly pension benefits of all retirees of the
DFA, as provided under Republic Act No. 7157, shall, upon the effectivity of this Act, be
automatically adjusted to the existing rate, and any subsequent increase thereof, of the salary
grade of the rank they held upon their retirement.

Section 4. Additional Entitlements. All officers and employees covered by Section 2 of this Act,
shall be eligible for disability and death benefits in the same manner provided under the GSIS
Act, as amended, and other relevant laws.

Section 5. Exemption of Pension from Income Tax, Attachment, Levy, Gamnishment. — Any
pension granted to a beneficiary under this Act shall not, wholly or partly, be subject to income
tax, attachment, execution, forfeiture, or retention under any legal or equitable proceedings, nor
shall any lien of any kind or under any consideration be imposed thereon.


Section 6. Survivorship Benefits. In case of death of a DFA retiree or personnel who has met the
requirements provided in Section 2, the following shall be entitled to receive the adjusted
retirement benefits that the deceased was receiving or entitled to receive: (a) their surviving
‘spouse, during their lifetime, or until they remarry; and (b) their dependent children. Said benefits
shall be distributed or apportioned in accordance with the GSIS Act, as amended.

Section 7. Appropriation and Funding Source. — The differential funding requirements for the
initial implementation of this Act shall be charged against the current year's savings of the DFA.

Thereafter, the annual differential amount necessary for GSIS to pay the adjusted monthiy
pension and other benefits to implement the provisions of this Act shall be included in the General
Appropriations Act annually, to be sourced from the DFA's annual consular income asa
percentage thereof.

‘Section 8. Implementing Rules and Regulations. — Within one hundred eighty (180) days after
the effectivity of this Act, DFA shall issue the necessary rules and regulations for the effective
implementation of this Act, in coordination with relevant government agencies.

Section 9. Separability Clause. — If any provision of this Act is declared invalid or unconstitutional,
the remaining provisions not affected shall continue to be in full force and effect.

Section 10. Repealing Clause. ~ All laws, decrees, executive orders, or rules and regulations
contrary to or inconsistent with this Act are hereby repealed or modified accordingly.

Section 11. Effectivity Clause. — This Act shall take effect fifteen (15) days from its publication
in the Official Gazette.

Approved,