Metro Manila (CNN Philippines, August 2) — The House of Representatives has created a new committee to focus on proposals to reform the pension system for military and uniformed personnel (MUP), which is among the legislative priorities of President Ferdinand Marcos Jr.
The ad hoc committee on MUP pension reforms will be led by Albay Rep. Joey Salceda, who chairs the House Ways and Means Committee.
The creation of the committee, which was formalized during Wednesday’s session, followed a three-hour closed-door meeting of House leaders and members of the economic team to thresh out details of the MUP pension reform.
At least 11 bills have been filed in the House pushing for a “sustainable fiscal framework” for the MUP pension system.
Finance Secretary Benjamin Diokno earlier warned of a “fiscal collapse” over the ballooning pension payments to MUP, which he estimated to be at ₱213 billion this year and could possibly reach ₱1 trillion by 2025.
In a statement, House Speaker Martin Romualdez said a consensus has been reached on how to fund the reforms needed for the MUP pension.
“We all agreed on a solution that we believe will be beneficial to all stakeholders in the MUP pension program,” Romualdez said.
“Ang sinisigurado namin, mababayaran ang lahat ng pension ng ating mga sundalo at uniformed personnel [The assurance we can give is the pension of all our soldiers and uniformed personnel will be paid],” he added.
Meanwhile, Salceda said the pay of MUP will still be increased under the proposed solution eyed by the House “since we can control its fiscal consequences on the pension system.”
“It guarantees three things: Sure salary increase. Sure indexation of pensions. And sure funding for the pension system,” he said in a statement.
READ: Biting the bullet: The Marcos administration’s push for MUP pension reform
