SECTOR: Armed Forces
SONA YEAR: 2022
Establish unified system of separation, retirement and pension
PROMISE STATUS - DATE: In progress as of 07/17/2023
- Senate Bills (SB) 284 and 1421 and House Bill (HB) 4238, which seek to reform the MUP pension system, were filed last year. Among the reforms sought is the mandatory contributions from new and active personnel, which has been met by heavy protest. All three measures are pending at the committee level.
- Both Finance Secretary Benjamin Diokno and National Treasurer Rosalia de Leon have warned of fiscal collapse brought about by the ballooning liabilities caused by the current MUP pension system. Galvez has pushed back and said while the Defense department understands the current pension system’s financial ramifications, lawmakers should consider the morale and welfare of the troops.
- A technical working group was tasked to create new legislation acceptable to all stakeholders following the deliberations by the Senate Committee on National Defense and Security.