End of MUP pension woes in sight? House forms ad hoc panel

House of Representatives (MANILA BULLETIN)






To show that it is serious in ensuring the sustainability of the military and uniformed personnel (MUP) pension system, the House of Representatives formed in plenary on Wednesday night, Aug.2 an ad hoc committee that would handle the matter. Senior Deputy Majority Leader and Ilocos Norte 1st district Rep. Sandro Marcos made the motion to create the Ad Hoc Committee on MUP Pension Reforms. House Committee on Ways and Means Chairman Albay 2nd district Rep. Joey Salceda was installed as the chairman of the ad hoc panel. A few minutes before Marcos made the motion, House Speaker Martin Romualdez announced in a statement that a consensus had been reached on how to fund the reforms needed for the MUP pension and make the program more reliable and sustainable in the years to come. Such consensus was reached after members of the government’s economic team and senior House leaders met behind closed doors to thresh out disagreements over the MUP pension reforms. No less than President Ferdinand "Bongbong" Marcos Jr. ordered the high-stakes meeting. “I am happy to report that we have reached a consensus after a three-hour meeting. We all agreed on a solution that we, believe, will be beneficial to all stakeholders in the MUP pension program,” Romualdez, leader of the 312-strong House, said. “Our soldiers and uniformed personnel are now assured: their pension plan are now fully funded. Not only in 2023 or 2024, but in years to come,” added the Leyte 1st district congressman, who subsequently ordered the creation of the ad hoc panel. The consensus reached according to Salceda's office involves a 3 percent guaranteed annual increase for salary. Also, the indexation of MUP pensions will be retained, but at 50 percent of increase in active personnel salaries. The creation of MUP trust fund was also agreed upon.
"I thank the President and the Speaker for their trust," Salceda said in connection with his chairmanship of the adhoc panel. "President Marcos has already helped address the problem by being very responsible about any salary increase for the MUP, before a viable pension system is in place. And with this reform, his government will solve the pension problem for decades to come," he said.