State Dining Room, Malacañan Palace
March 28, 2023
President Ferdinand R. Marcos Jr. presided over a sectoral meeting on the proposed military and uniformed personnel (MUP) retirement and pension system at the State Dining Room in Malacañan Palace.
This game-changing reform package, according to Department of Finance (DOF) Secretary Benjamin Diokno, is necessary to avert a fiscal crisis since the current MUP pension system is fully funded by the national government with no contribution from its personnel.
The proposed MUP reform package consists of the following: to apply to all active personnel and new entrants; removal of automatic indexation of pension to the salary of active personnel of similar rank; MUPs to receive pension starting at 57 years of age, subject to existing rules & regulations on minimum active service requirement; and mandatory contributions for active personnel and new entrants, similar to Government Service Insurance System (GSIS) pensioners.
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