- Senator Panfilo Lacson said it’s best to raise the retirement age of
mili tary and uniformed personnel (MUP) from 56 to 60 years old
- He said this would help save the government money from the escalating pension costs
- Lacson said these pension get a huge chunk from the national budget
Senators are eyeing the possibility of raising the retirement age of
mili tary and uniformed personnel (MUP).
To manage the escalating pension costs, several senators are considering the idea of raising the retirement age from 56 to 60 years old of MUP. During an online hearing, Sen. Panfilo Lacson expressed his concern on the funds needed for the pension of the retired MUP, which he said still relies on national budget.
He was quoted on Inquirer saying, “Certainly, it is high time we created a standalone special fund so that we may deter the inevitable fiscal disa
ster of draining the public coffers attributed to the bloating pension requirements of our uniformed retirees, which up to this very moment completely rely on the national budget.”
Lacson noted how a big chunk of the national budget goes to the pension of the MUP. He said that in the 2019 national budget of P3.757 trillion, P107.2B went to MUP pensions. For 2020, the adjusted appropriated amount is P80 billion. In the proposed 2021 national budget, P135.8 billion had been allocated for the pension costs of MUP.
Senate President Pro tempore Ralph Recto also agreed with Lacson and said that raising the retirement age could reduce government spending on pensions.
“So, Maybe we can increase the age of retirement of our uniformed personnel from 56 to 60. It could lessen the government’s future spending,” Recto said.