• RULES SET FOR PROMPT RELEASE OF RETIREMENT PERKS; ABAD: RETIREES TO GET BENEFITS W/IN 30 DAYS POST-RETIREMENT

    Posted on April 18, 2013 by in News

    The Department of Budget and Management (DBM) issued new guidelines for the release of retirement perks for all government employees, in a move to facilitate the efficient processing and timely release of benefits to retiring government employees.

    Under Budget Circular 2013-1 dated April 12, 2013, government retirees will receive their retirement perks, gratuities and other benefits due them within thirty (30) days from their actual date of retirement, provided all necessary requirements are submitted ninety (90) days prior to said date.

    “President Aquino recognizes the valuable contributions of our retiring employees and their years of service to the government and the country. By ensuring the swift processing of their retirement pensions, our retirees can receive the assistance due them and support themselves ably, even after they’ve left their posts in government,” Budget and Management Secretary Florencio B. Abad said.

    Republic Act No. 10154 of 2011 provides that all retiring government employees should receive their retirement benefits within thirty days from their actual date of retirement. The Civil Service Commission (CSC) issued Resolution No. 1300237, which outlines the Implementing Rules and Regulations (IRR) of the said law.

    “In the past, the release of retireees’ pensions was prone to several delays. Some retirees even had to wait for at least a year or more before their benefits could be processed. We understand the great inconvenience this has caused our retirees, and the implementation of the modified guidelines should assure the quick release of their perks as mandated by law,” Abad said.

    A maximum period of one hundred twenty (120) days is prescribed for the submission, processing, release and payment of the retirees’ benefits. This period includes a prescribed period of up to ninety (90) days prior to a retiree’s effective retirement date for the submission of all documentary requirements to their mother agency, and then to DBM.

    The DBM will then process the agency’s request for retirement payments within 10 days upon receipt, with another 10 days allotted to the review and examination of the request. Afterwhich, the agency is expected to record and give the retirement payment released by DBM to the retiring employee within 10 days.

    DBM, for its part, released the said guidelines prescribing the documentary requirements and processing procedures to institute measures and conform to the objectives of the said law and the IRR.

    The Budget Circular excludes the payment of retirement benefits for retiring personnel of the Armed Forces of the Philippines (AFP), whose pension system is still being reviewed for necessary rationalization.

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