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Manila Bulletin devider Philippines devider National devider EC pensioners to get P252 M from GSIS

EC pensioners to get P252 M from GSIS

Published Apr 24, 2021 11:49 am

Over 12,000 Employees Compensation (EC) pensioners will receive a total of P252 million or P20,000 in financial assistance each from the Government Service Insurance System (GSIS) in compliance with Administrative Order No. 39 recently signed by President Duterte.

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The order, signed by Duterte on Monday, April 19, empowers the Employees' Compensation Commission (ECC) to grant one-time cash aid to around 31,000 pensioners of the GSIS and Social Security System.

Duterte directed the grant to all EC pensioners as they "experience undue financial hardships because of their vulnerabilities, and in anticipation of the prolonged economic impact of the (COVID-19) pandemic in their lives."

"While we are happy to announce that we will release Php20,000 one-time financial assistance to  each of our EC pensioners after the implementing rules of AO 39  is  published, we would like to clarify that EC pensioners are former government employees who retired early due to work-related sickness, injury or disability and  availed of benefits under Presidential Decree No. 626. EC survivorship pensioners are spouses of EC pensioners who died," GSIS President and General Manager Rolando Ledesma Macasaet said Saturday, April 24.  

Under Presidential Decree No. 626, GSIS administers the EC Fund which is purely an employer-based contribution benefit. The benefit is a compensation package for public and private sector employees and their dependents in the event of work-related injuries, sickness, disability or death.

"GSIS manages the Employees Compensation fund for the government workers which will be the source of the said financial assistance. The payment of such financial assistance will  have no effect on the Social Insurance Fund where the contribution of GSIS members goes," Macasaet noted.

The financial assistance was a recommendation of GSIS and Social Security System(SSS). SSS manages the EC fund for employees in the private sector.

The state pension fund is currently coordinating with the Employees Compensation Commission (ECC) and SSS to finalize the implementing rules and regulations (IRR) for the AO.

Granting will take effect immediately following its publication in the Official Gazette.

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