GSIS seeks to raise minimum pension to P6,000 State pension fund Government Service Insurance System is seeking to increase its members...
GSIS seeks to raise minimum pension to P6,000
State pension fund Government Service Insurance System is seeking to increase its members' minimum pension to P6,000 a month.
In a statement posted on its website, GSIS said it submitted a recommendation to President Rodrigo Duterte to hike the minimum basic pension of its old age and disability pensioners by P1,000, effective February this year.“
A total of 67,201 old age and disability pensioners will benefit from the proposed increase in minimum pension approved by the GSIS Board of Trustee," GSIS president and general manager Jesus Clint Aranas said.
"It should be noted that GSIS is recommending a pension hike that will not necessitate an increase in the monthly contribution of our members nor bring about adverse effects in the actuarial life of the pension fund," Aranas said.
The last pension hike was in 2018, wherein the GSIS increased the minimum basic monthly pension to P5,000.
Aranas added that if the proposal is approved by the President, it will be the second round of increase to be given to qualified GSIS pensioners in a span of two months.
"The first one, the annual 1.5-percent pension increase which has been regularly granted by the pension fund since 2010, was given to old age and disability pensioners in January this year. After the approval of the proposal, those whose pension are still lower than P6,000 after the 1.5-percent increase will get another round of increase to adjust their pension to P6,000 retroactive to February 2019," he said.
“It should be made clear, however, that survivorship pensioners and those who retired under the Portability Law (Republic Act 7699) are not entitled to the proposed pension increase," he added.
Portability law pensioners have been granted pension benefit after combining their contributions to GSIS and to the Social Security System (SSS), the GSIS chief said.
The law dictates that the amount of benefit to be paid by GSIS or SSS should be in proportion to the actual premium contributed to the pension fund, Aranas said.
The GSIS law, Republic Act No. 8291, provides that the basic monthly pension may be adjusted upon the recommendation of the president and general manager of GSIS and approved by the President of the Philippines.
Currently, the average monthly pension of GSIS is already P12,560, and the basic minimum is P5,000. — Originally Posted by ed cordero/LBG, GMA News Online
source https://depedtambayanph.blogspot.com/2019/03/gsis-seeks-to-raise-minimum-pension-to.html
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