The proposed military and uniformed personnel (MUP) pension scheme will be strictly independent from the civilian government workers’ pension, the Department of Finance (DOF) assured.

This was stressed by Finance Undersecretary Maria Luwalhati C. Dorotan Tiuseco during consultations with the Philippine Navy that the Government Service Insurance System (GSIS) would only handle the management of the MUP funds.

“GSIS has a very good track record,” Dorotan Tiuseco assured stressing that the mission of GSIS is to grow the fund's resources. In this case, she explained, an MUP will not be a "GSIS pensioner" but an "MUP pensioner”.

This is because there will be no co-mingling of funds between civilian government workers and MUP, added Deputy Treasurer Erwin D. Sta. Ana.

But Sta. Ana noted that the economic team would like to have its own accounting per MUP. "That there will be an accounting standard that will be employed just to make sure that there is a proper recording of all these funds," Sta. Ana said.

As an additional feature to better manage the pension fund, Sta. Ana added that representatives from the military and uniformed services will also be included in the planned oversight committee.

Moreover, one of the key pieces in the reform is the proposal for the joint contribution between the MUPs and the government to sustain the pension fund.

Various schemes were also put in place to take into account the different financial situations of the pensioners.

Dorotan Tiuseco said that this would help create fiscal space for additional programs for the benefit of both retired MUPs and active personnel.

“One of our goals is to make the pension fund sustainable to be able to make fiscal space for additional government support programs like housing, and better health and medical programs,” she said.

Earlier, National Treasurer Rosalia V. De Leon said the reforms, once passed into law, will establish a strong, sustainable, and robust social protection system that all MUP can rely on in old age.

“The proposed MUP pension reform aims to establish a strong social protection system that can provide a dignified post-retirement income that MUP retirees can rely on in their old age,” De Leon said.

There are currently two bills on MUP pension reform filed in the Senate: Senate Bill Nos. 284 and 1421 proposed by Senators Jinggoy Estrada and Bong Revilla Jr., respectively.