GSIS hikes pension benefits
The Government Service Insurance System said on Thursday it would increase the benefits for its pensioners and members starting this month.
The GSIS launched the “milestone” benefits scheme for pensioners who are 90 to 100 years old.
Under the scheme, P20, 000 will be given to pensioners aged 90-94 years old; P50 000 to pensioners 95 to 99 years old and P100,000 to pensioners who are 100 years old and above.
As of Sept. 1 this year, there were 6,000 pensioners aged 90 to 94 years old; 1,100 95 to 99 years old and 181 are 100 years old and above.
The GSIS said that starting September 2, regular pensioner will receive milestone benefit on their birthday: P20,000 to pensioners who will turn 90 years old; P30,000 to pensioners who will turn 95 years old; and, P50,000 to pensioners who will turn 100 years old.
“Our pensioners who are 90 years old and above are the most vulnerable members of GSIS,” said Robert Vergara, president and general manager.
A one-time benefit equivalent to a month’s pension or about P10,000 will be given to more than 272 000 regular old-age and disability pensioners.
GSIS also said funeral benefits will increase from P20,000 to P30,000.
“The funeral benefit was last increased in 2001 or 14 years ago when it was raised from P18,000 to P20,000. The increase is long overdue,” Vergara said.
The benefit enhancement was traced to the P908 billion assets recorded by the pension fund in 2014 while income also increase to P140 billion and revenues stood at P231 billion.
Under Republic Act No. 8291 (GSIS Act of 1997), the GSIS Board of Trustees is empowered to approve and adopt guidelines that will increase the benefits of GSIS members.
The benefit enhancements will not have any adverse impact on the fund life of the Social Insurance Fund which stand at 2049 or 35 years.
GSIS pensioners currently stood at around 1.4 billion according to Vergara ----- 1.2 million were government employees while about 200, 000 were pensioners and survivors of pensioners.
GSIS recent increase in pension was in 2013 where the basic pension received by a government retired employees is P5,000.