Imposing A Ten Percent (10%) Across-The-Board Increase In Employees' Compensation Pension For Employees In The Public SectorGood Law
BY THE PRESIDENT OF THE PHILIPPINES
EXECUTIVE ORDER No. 188
IMPOSING A TEN PERCENT (10%) ACROSS-THE-BOARD INCREASE IN EMPLOYEES' COMPENSATION PENSION FOR EMPLOYEES IN THE PUBLIC SECTOR
WHEREAS, there is a need to continually improve benefits under the Employees' Compensation (EC) Program to make them more responsive to the welfare and development needs of persons with work-related disabilities;
WHEREAS, on 14 January 2015, the Employees' Compensation Commission (ECC) adopted Board Resolution No. 15-01-01, approving a ten percent (10%) across-the-board increase in EC pension for employees in the public sector;
WHEREAS, pursuant to Article 177 (e) of Presidential Decree (PD) No. 442, otherwise known as the "Labor Code of the Philippines, as amended," the ECC shall have the powers and duties, among others, to upgrade benefits and grant new ones for permanent disability or death, subject to the approval of the President, provided that the actuarial stability of the SIF shall be guaranteed and such increases in benefits shall not require any increase in contributions; and
WHEREAS, the results of the actuarial study of the Government Service Insurance System (GSIS) show that the State Insurance Fund (SIF) administered by the GSIS can finance the increase in EC pension for the public sector without affecting the stability of the SIF and without requiring addition contributions from the National Government.
NOW, THEREFORE, I, BENIGNO S. AQUINO III, President of the Philippines, by virtue of the powers vested in me by law, do hereby order:
SECTION 1. EC Pension. The amount of EC pension for the public sector shall be increased by ten percent (10%) across-the-board, effective 01 May 2015; Provided, that the stability of the SIF shall be guaranteed; and Provided, further that, there is no corresponding increase in EC contribution from their employer, the National Government.
SECTION 2. Appropriation and Release from the SIF. The ECC and the GSIS are hereby directed to appropriate and release the amounts necessary to cover the increase in EC pension from the reserves of the SIF administered by the GSIS under the Employees' Compensation Program.
SECTION 3. Implementing Rules and Regulations. The ECC shall issue such rules and regulations as may be necessary to implement this Executive Order.
SECTION 4. Repeal. All orders, proclamations, rules, regulations, or parts thereof, which are inconsistent with this Order, are hereby repealed, amended or modified accordingly.
SECTION 5. Separability. If any provision of this Order is declared invalid or unconstitutional, the other provisions not affected thereby shall remain valid and subsisting.
SECTION 6. Effectivity. This Order shall take effect immediately after its publication in a newspaper of general circulation.
DONE, in the City of Manila, this 11th day of September, in the year of our Lord Two Thousand and Fifteen.
(Sgd.) BENIGNO S. AQUINO, III
By the President:
(SGD.) PAQUITO N. OCHOA, JR.