Teodoro eyes separate retirement system for AFP personnel

Defense Secretary Gilbert Teodoro Jr. on Monday said he is eyeing a separate retirement system for the Armed Forces of the Philippines (AFP).

“There are lines of convergence but it is a distinct discipline and organization from the rest of the law enforcement agencies. And their mission roles are different and we shall be coming out with a suggestion to Congress on a bill for that,” Teodoro told ANC.

President Ferdinand "Bongbong" Marcos Jr. has been pushing for "self-regenerating" pension plans for both the AFP and the Philippine National Police.

According to the Presidential Communications Office, Marcos wanted the AFP and the PNP to have a self-sustaining pension plan and to avoid a scenario where the funds will be depleted.

According to Teodoro, there will be no changes to the entitlements and benefits currently being received by retirees. However, he said contributions will be required in the new system.

“The transition from non-contributory to contributory shall be phased and not implemented in one go. And shall be such that the contributor, who and on what rank and what stage… in their career they are, shall feel the least financial impact as possible,” he said.

The Defense secretary, meanwhile, said he does not expect the new retirement system to discourage new AFP personnel, adding that the job remains to be “very viable and competitive.”

“Despite the fact that you will have some contributions, the contribution will even be smaller perhaps than one in the private sector and your starting salary will be bigger anyway,” Teodoro said.

Meanwhile, in a separate televised interview, Teodoro said the DND has received the Horizon 3 as part of the AFP Modernization Program.

“At ating minamabuti na itong mga proyekto na ito ay mapondohan na… to the quickest possible time, mapondohan na ito at ito ay maisakatuparan na,” he said on public briefing.

(These projects should be funded at the quickest possible time in order to implement them.)

“Ibinigay na nila ang kanilang hiling, tayo naman naninigurado tayo na that the best possible equipment, and processes, and training ay makuha. At kailangan din natin ng assurance sa Kongreso ng karampatang unang pondo upang itong mga kagamitan na ito ay magamit ng 100%,” he added.

(They have given their wish so we will ensure that they will get the best equipment, processes, and training. And we also need assurance from Congress that a sufficient initial fund will be given so these equipment will be used at 100%.) —KBK, GMA Integrated News