HOUSE OF REPRESENTATIVES
RECEIVED

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

17" CONGRESS
First Regular Session

Bo
nous BILL No, 8&2

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 prices.

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 eamestly
urged.

EVELINA G. ESCUDERO


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
17" CONGRESS
First Regular Session

bE

HOUSE BILL NO.

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,