Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Constitution Hills, Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No._____ 
________________________________________________________________ 
Introduced by: REPRESENTATIVE EDWIN L. OLIVAREZ 
“AN ACT PROVIDING ALL BARANGAY OFFICIALS, INCLUDING BARANGAY 
TANODS, MEMBERS OF THE LUPONG TAGAPAMAYAPA, BARANGAY HEALTH 
WORKERS AND BARANGAY DAY CARE WORKERS, A LUMP SUM RETIREMENT 
PAY EQUIVALENT TO ONE (1) YEAR HONORARIUM, AMENDING FOR THE 
PURPOSE SECTION 393 OR REPUBLIC ACT NO. 7160, AS AMENDED, 
OTHERWISE KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991” 
EXPLANATORY NOTE 
The barangay officials and employees in our country are frontliners who are 
tasked to respond quickly to the immediate needs of the citizens. Barangay officials 
and employees are in charge of delivering first level assistance to the Filipinos. This 
is why the barangay is considered as the basic political unit of our country. Being 
the basic political unit, it is palpable that people who work for the barangays are 
continuously and tirelessly serving citizens day in and day out. However, it is also 
quite known that the compensation received by these people is disproportionate to 
the workload that they have. Not only that, the retirement benefits granted to 
barangay officials and employees are also menial. 
In order to recognize the efforts exerted by the barangay officials and 
employees, this bill aims to grant them lump sum retirement pay equivalent to their 
one-year honorarium. This is to give due recognition to barangay workers who not 
only served diligently but also have served their respective barangays for many years. 
In view of the foregoing, the passage of this bill is earnestly sought. 
EDWIN L. OLIVAREZ 
February 1, 2023
2:39 pm
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Constitution Hills, Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No._____ 
________________________________________________________________ 
Introduced by: REPRESENTATIVE EDWIN L. OLIVAREZ 
“AN ACT PROVIDING ALL BARANGAY OFFICIALS, INCLUDING BARANGAY 
TANODS, MEMBERS OF THE LUPONG TAGAPAMAYAPA, BARANGAY HEALTH 
WORKERS AND BARANGAY DAY CARE WORKERS, A LUMP SUM RETIREMENT 
PAY EQUIVALENT TO ONE (1) YEAR HONORARIUM, AMENDING FOR THE 
PURPOSE SECTION 393 OR REPUBLIC ACT NO. 7160, AS AMENDED, 
OTHERWISE KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991” 
Be it enacted in the Senate and the House of Representatives of the Republic of the 
Philippines in the Congress assembled: 
SECTION 1. Section 393 of the Republic Act No. 7160, as amended, otherwise 
known as the “The Local Government Code of 1991”, is hereby amended to read as 
follows: 
“Sec. 393. Benefits of Barangay Officials. – (a) Barangay officials, including 
barangay tanods and members of the Lupong Tagapamayapa, shall receive 
honorarium, allowance, and such other emoluments as may be authorized by law or 
barangay, municipal or city ordinance in accordance with the provision of this Code, 
but in no case shall it be less than One Thousand Pesos (P1,000.00) per month for the 
punong barangay and Six Hundred Pesos (P600.00) per month for the sangguniang 
barangay members, barangay treasurer, and barangay secretary: Provided, however, 
That the annual appropriations for personal services shall be subject to the budgetary 
limitation prescribed under Title Five, Book II of this Code. 
“(b) x xx 
“(1) x x x “ (2)xxx 
“(3) BE ENTITLED TO A LUMP SUM RETIREMENT PAY EQUIVALENT 
TO ONE (1) YEAR HONORARIUM WHICH SHALL IN NO CASE EXCEED ONE 
HUNDRED THOUSAND PESOS (P100,000.00) TO BE TAKEN FROM THE 
BARANGAY RETIREMENT FUND; PROVIDED, THAT A RETIREE IS AT 
LEAST (60) YEARS OF AGE WITH A MINIMUM OF NINE (9) YEARS IN 
SERVICE AT THE TIME OF HIS/HER RETIREMENT. 
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[(3)] (4) xxx 
 
[(4)] (5) xxx 
 
[(5)] (6) xxx 
 
 
 
(c) xxx 
 
 
 
(d) xxx” 
 
SECTION 2. Barangay Retirement Fund Created. – There is hereby created 
a Barangay Retirement Fund which shall serve to fund the retirement of Barangay 
officials and personnel mentioned in the preceding paragraph. The amount 
equivalent to one percent (1%) of the share of the national government under Section 
284 of the Local Government Code of 1991, as amended, shall be used for this 
purpose. 
 
 
The appropriate disbursement of the Barangay Retirement Fund shall be 
under the administration of the Department of the Interior and Local Government 
(DILG). 
 
 
SECTION 3. Implementing Rules and Regulations. – The Department of 
Budget and Management, in coordination with the DILG, shall formulate the 
necessary rules and regulations for the effective implementing of this Act. 
 
 
SECTION 4. Separability Clause. – If any provision of this Act is declared 
invalid or unconstitutional, the other provisions not affected thereby shall remain 
valid and subsisting. 
 
 
SECTION 5. Repealing Clause. – All act, executive orders, memorandum 
circular/guidelines and other issuances or parts thereof, which are inconsistent with 
this Act, are hereby repealed or modified accordingly. 
 
 
SECTION 6. Effectivity. -  This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in Two (2) newspapers of general circulation. 
 
 
Approved.