House approves House Bill No. 5509 lowering the optional retirement age of gov’t workers from 60 years old to 56.
Voting 192 in the affirmative and zero in the negative, the chamber approved House Bill 5509, which also amends Section 13-A of RA 8291 or the Government Service Insurance System (GSIS) Act of 1997.
Retirement benefits that a GSIS member will get under the law are: the lump sum payment of basic monthly pension times 60, payable at the time of retirement plus an old-age pension benefit equal to the basic monthly pension payable monthly for life, starting upon expiration of the five-year guaranteed period covered by the lump sum; or cash payment equivalent to 18 months of his or her basic monthly pension plus monthly pension for life payable immediately with no five-year guarantee.
Qualified GSIS members who has retired or separated from service before the effectivity of the measure will also be covered by its provisions, provided that the benefits to be granted will be prospective.