PHILIPPINE LAWS, STATUTES, CODES & ISSUANCES
PHILIPPINE LAWS, STATUTES AND CODES - CHAN ROBLES VIRTUAL LAW LIBRARY
REPUBLIC ACTS
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REPUBLIC ACT NO. 3839 - AN ACT TO
AMEND CERTAIN SECTIONS OF REPUBLIC ACT NUMBERED ELEVEN HUNDRED AND
SIXTY-ONE, AS AMENDED BY REPUBLIC ACT NUMBERED SEVENTEEN HUNDRED AND
NINETY-TWO AND REPUBLIC ACT NUMBERED TWENTY-SIX HUNDRED AND
FIFTY-EIGHT, OTHERWISE KNOWN AS "THE SOCIAL SECURITY ACT OF 1954"
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Section
1. Subparagraph (8), paragraph (j) of Section eight,
Republic Act Numbered Eleven Hundred and Sixty-One, as amended, is
further amended to read as follows:
"(8)
Services performed in the employ of a foreign
government or international organization, or their wholly-owned
instrumentality: Provided, however, That this exemption
notwithstanding, any foreign government, international organization, or
their wholly-owned instrumentality employing workers in the Philippines
may enter into an agreement with the Philippine Government for the
inclusion of such employees in the Social Security System except those
already covered by the United States Civil Service Retirement System:
Provided, further, That the terms of such agreement shall conform with
the provisions of this Act on coverage and amount of payment of
contributions and benefits: Provided, finally, That the provisions of
this Act shall be supplementary to any such agreement."
Sec. 2. Section nine of the same Act, as amended, is further amended to read as follows:
"Sec.
9. Compulsory coverage. � Coverage in the
System shall be compulsory upon all employees not over sixty years of
age and their employers: Provided, That any benefit already earned by
employees under private benefit plans existing at the time of the
approval of this Act shall not be discontinued, reduced or otherwise
impaired: Provided, further, that private plans which are existing and
in force at the time of compulsory coverage shall be integrated with
the plan of the System in such a way where the employer's contribution
to his private plan is more than that required of him in this Act he
shall pay to the System only the contribution required of him and he
shall continue his contributions to such private plans less his
contribution to the System so that the employer's total contribution to
his private benefit plan and to the Social Security System shall be the
same as his contribution to his private plan before the compulsory
coverage: Provided, further, That any changes, adjustments,
modifications, eliminations or improvements in the benefits to be
available under the remaining private plan, which may be necessary to
adopt by reason of the reduced contribution thereto as a result of the
integration, shall be subject to agreements between the employers and
employees concerned: Provided, further, That the private benefit plan
which the employer shall continue for his employees shall remain under
the employer's management and control unless there is an existing
agreement to the contrary: Provided, finally, That nothing in this Act
shall be construed as a limitation on the right of employers and
employees to agree on and adopt benefits which are over and above those
provided under this Act."
Sec. 3. Section twelve of the same Act is amended by amending paragraph (a) thereof and adding thereto a new paragraph which shall read as follows:
"Sec.
12. Retirement Benefits. � (a) Upon reaching
the age of sixty years and after having paid at least one hundred
twenty monthly contributions to the System, a covered employee shall
have the option to retire and he shall be entitled for as long as he
lives but in no case for less than five years to a monthly basic
pension amount to be computed as follows:
"Thirty percent of the first one hundred pesos average monthly salary credits or fraction thereof; "Eighteen percent of the second one hundred pesos average monthly salary credits or fraction thereof; "Six percent of each succeeding one hundred pesos average monthly salary credits or fraction thereof: Provided, That if the total number of monthly contributions exceeds one hundred twenty at the time of retirement, the retiring employee, in addition to the monthly basic pension amount, shall be entitled to a monthly pension increment of one twenty-fourth of one per centum of the average monthly salary for each monthly salary credit for each monthly contribution in excess of one hundred twenty: Provided, further, That a member of the System covered prior to the effectivity of this amendatory Act or within two years thereafter and who was fifty years of age or over on the effective date of his coverage shall be entitled to the benefits hereunder if he has paid a number of monthly contributions equivalent to twelve times the difference between his age at coverage and sixty, but in no case less than twenty-four: Provided, finally, That the monthly pension shall in no case be less than thirty pesos for a retiring employee already covered at the time of the approval of this amendatory Act.
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"(d) The monthly pension of a member retired before the approval of this amendatory Act shall be recomputed in accordance with paragraph (a) of this section and the increased amount shall be his new monthly pension beginning with the month following the approval of this amendatory Act." Sec. 4. Section fifteen of the same Act, as amended, is further amended to read as follows:
"Sec.
15. Non-transferability of benefits. � The
System shall pay the benefits provided for in this Act to such persons
as may be entitled thereto in accordance with the provision of this
Act: Provided, That if the recipient is a minor or a person incapable
of administering his own affairs, the Commission shall appoint a
representative under such terms and conditions as the Commission may
deem proper. Such benefits are not transferable, and no power of
attorney or other document executed by those entitled in favor of any
agent, attorney, or any other individual for the collection thereof in
their behalf shall be recognized except when they are physically and
legally unable to collect personally such benefit: Provided, however,
That in the case of death benefits, if no beneficiary has been
designated or the designation thereof is void, said benefits shall be
paid to the legal heirs in accordance with the laws of
succession."
Sec. 5. Section twenty-five of the same Act, as amended, is further amended to read as follows:
"Sec.
25. Deposit and disbursement. � All moneys paid
to or collected by the System every year under this Act, and all
accruals thereto shall be deposited, administered and disbursed in the
same manner and under the same conditions and requirements as provided
by law for other public special funds: Provided, That of the total
yearly collection of such moneys and their accruals, not more than nine
per centum during fiscal years nineteen hundred sixty-three to nineteen
hundred sixty-four and nineteen hundred sixty-four to nineteen hundred
sixty-five, eight per centum during fiscal years nineteen hundred
sixty-five to nineteen hundred sixty-six and nineteen hundred sixty-six
to nineteen hundred sixty-seven, and seven per centum in any year
thereafter shall be disbursed for the payment of salaries and wages and
purchases of office equipments and materials and operational expenses
and the establishment of regional offices of the System for any year:
Provided, further, That if the expenses of the System in any year are
less than the maximum amount permissible the difference shall not be
availed of as additional expenses of the System in the following
years."
Sec. 6. This Act shall take effect upon its approval. Approved: June 22, 1963 |
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