Retired diplomats and employees of the Department of Foreign Affairs (DFA) will soon receive increased retirement benefits, thanks to the enactment of Republic Act No. 12181, a law championed by Senator Mark Villar to recognize the years of service rendered by the country’s foreign service personnel.
DFA retirees to receive higher benefits under new law championed by Senator Villar
Signed into law on May 2, 2025, RA 12181—originally filed as Senate Bill No. 2863—provides for the adjustment of monthly pensions and gratuity benefits for retired DFA personnel who receive pensions through the Government Service Insurance System (GSIS).
“Many of our former ambassadors and foreign service officers dedicated their lives to representing the Philippines abroad. It is only right that we ensure they can live in dignity after retirement,” Senator Villar said.
The law mandates the provision of a monthly pension differential, defined as the gap between the adjusted DFA-computed pension and the amount retirees currently receive from GSIS. This differential will be multiplied by an adjustment factor determined by the DFA to account for inflation and changing economic conditions.
To ease concerns about funding, Villar clarified that the increased benefits will not be sourced from the national budget but will instead be financed through consular fees collected under Executive Order No. 906, s. 2010. “We made sure this law will be fiscally responsible while meeting the needs of our retirees,” he assured.
In addition to adjusting pensions, RA 12181 includes a provision for the families of deceased DFA retirees. Surviving unmarried legal spouses and qualified dependent children will receive 50% of the pension differential the retiree was receiving or was entitled to receive.
“This is a measure of compassion for the families left behind, ensuring they, too, are not forgotten,” Villar said.
Senator Villar underscored that the passage of the law is not only about financial support but also about recognizing the dedication and sacrifices of Filipino diplomats and DFA employees.
“This legislation sends a clear message: we honor your service, and we will not let your contributions go unrecognized. We stand with you, just as you stood for the Philippines on the global stage,” he said.