Sen. Cynthia Villar refiled the bill that will grant a P2,000 across-the-board increase in the monthly pension of 1.9 million Social Security System (SSS) members.
Senate Bill No. 145 amends Section 12 of Republic Act (RA) 1161, as amended, otherwise known as the Social Security Act of 1997.
Under the proposal, the minimum monthly pension shall be P3,200 for members with at least ten credited years of service and P4,400 for those with 20 credited years of service.
Villar noted that it has been 19 years since the Social Security Law was amended in 1997. RA 8282 provided that the minimum pension shall be P1,200 for members with at least ten credited years of service and P2,400 for those with 20 credited years of service.
"There is no doubt that since then the cost of living being faced by pensioners has enormously grown. An increase in the monthly pension is necessary in order to adequately provide for the well-being of the country's retirees," Villar said.
She added that "the 5% across-the-board pension increase in 2014 may be a pittance and definitely not sufficient to cover the rising cost of living for the past 19 years."
Last Congress, Villar worked for the passage of the bill as principal sponsor and chairperson of the Committee on Government Corporations and Public Enterprises. It hurdled approval of both houses of Congress but President Noynoy Aquino vetoed the bill.
"Until now, SSS cannot offer an alternative to the vetoed proposal to increase the pension rate of the retirees. We need this law to help the retirees who depend on their pension to pay for their daily needs and maintenance medicine," she said.