BUSINESS
Advocates Philippines
Government Appeasing Disgruntled Military Members On Pension Reforms
Photo courtesy from DOF
Pasay City, Philippines - The economic team of the Philippines held a crucial dialogue with members of the Philippine Air Force (PAF) to discuss proposed reforms aimed at balancing the creation of a fair military and uniformed personnel (MUP) pension system with the need to maintain the country's overall fiscal health. The dialogue took place on May 26, 2023, at the Colonel Jesus Villamor Air Base.
Colonel Sheillah Grace E. Vicente, addressing the attendees, emphasized the government's commitment to prioritizing the morale and welfare of the uniformed personnel while honoring their service and contributions to the nation. She also stressed the importance of providing opportunities for the future generation of soldiers.
During the dialogue, around 200 PAF members attended the event in person, while an additional 600 participated virtually. The economic team, led by Maria Cielo D. Magno, the Undersecretary for Fiscal Policy and Monitoring at the Department of Finance (DOF), was present, along with representatives from the Department of Budget and Management (DBM) and the office of Senator Jinggoy Estrada.
Undersecretary Magno presented the rationale behind the proposed reforms and emphasized the significance of establishing vested rights to ensure a secure and predictable pension system. She addressed misconceptions about the fund, clarifying that it should be viewed as forced savings rather than an unrecoverable tax.
The current pension system, which relies solely on the national budget, was highlighted as a potential risk. Undersecretary Magno pointed out that an economic crisis, budgetary constraints, or a growing deficit could affect pension payments to retirees if there are no vested rights attached to the retirement fund.
Chief Sergeant Major John I. Roxas expressed support for the government's initiative to establish a secure pension system that would safeguard retirees upon their departure from service. He voiced hope that both parties could find common ground for the betterment of the government and the welfare of all members of the Armed Forces of the Philippines.
To gather further input, an AFP-wide survey is being conducted, which will aid the economic team in crafting a balanced proposal.
The economic team remains committed to engaging in dialogue with all affected MUP stakeholders to ensure that the policy directives of President Ferdinand R. Marcos, Jr. are developed through consensus and participatory policymaking.
Upcoming consultations have been scheduled with various units and agencies, including the Armed Forces of the Philippines (AFP)'s Presidential Security Group (PSG), Health Service Command, Philippine Navy (PN), Philippine Army (PA), Visayas Command, Eastern Mindanao Command, Western Mindanao Command, Western Command, Philippine Military Academy (PMA), Northern Luzon Command, and Southern Luzon Command.
In addition to these military organizations, talks are also planned with the Philippine National Police (PNP), Bureau of Fire Protection (BFP), Philippine Coast Guard (PCG), Bureau of Corrections (BuCor), Bureau of Jail Management and Penology (BJMP), and National Mapping and Resource Information Authority (NAMRIA).
Colonel Sheillah Grace E. Vicente, addressing the attendees, emphasized the government's commitment to prioritizing the morale and welfare of the uniformed personnel while honoring their service and contributions to the nation. She also stressed the importance of providing opportunities for the future generation of soldiers.
During the dialogue, around 200 PAF members attended the event in person, while an additional 600 participated virtually. The economic team, led by Maria Cielo D. Magno, the Undersecretary for Fiscal Policy and Monitoring at the Department of Finance (DOF), was present, along with representatives from the Department of Budget and Management (DBM) and the office of Senator Jinggoy Estrada.
Undersecretary Magno presented the rationale behind the proposed reforms and emphasized the significance of establishing vested rights to ensure a secure and predictable pension system. She addressed misconceptions about the fund, clarifying that it should be viewed as forced savings rather than an unrecoverable tax.
The current pension system, which relies solely on the national budget, was highlighted as a potential risk. Undersecretary Magno pointed out that an economic crisis, budgetary constraints, or a growing deficit could affect pension payments to retirees if there are no vested rights attached to the retirement fund.
Chief Sergeant Major John I. Roxas expressed support for the government's initiative to establish a secure pension system that would safeguard retirees upon their departure from service. He voiced hope that both parties could find common ground for the betterment of the government and the welfare of all members of the Armed Forces of the Philippines.
To gather further input, an AFP-wide survey is being conducted, which will aid the economic team in crafting a balanced proposal.
The economic team remains committed to engaging in dialogue with all affected MUP stakeholders to ensure that the policy directives of President Ferdinand R. Marcos, Jr. are developed through consensus and participatory policymaking.
Upcoming consultations have been scheduled with various units and agencies, including the Armed Forces of the Philippines (AFP)'s Presidential Security Group (PSG), Health Service Command, Philippine Navy (PN), Philippine Army (PA), Visayas Command, Eastern Mindanao Command, Western Mindanao Command, Western Command, Philippine Military Academy (PMA), Northern Luzon Command, and Southern Luzon Command.
In addition to these military organizations, talks are also planned with the Philippine National Police (PNP), Bureau of Fire Protection (BFP), Philippine Coast Guard (PCG), Bureau of Corrections (BuCor), Bureau of Jail Management and Penology (BJMP), and National Mapping and Resource Information Authority (NAMRIA).
Jun 2, 2023
