QuestionsQuestions (Republic Act No. 1862)
RA 1862 extends the benefits of Republic Act No. 340 (as amended) to certain military persons who were (1) retired under Commonwealth Act No. 190, (2) honorably separated with gratuity under subsection (g), Section 22 of CA 190, (3) retired under RA 340 with retirement effective date prior to January 1, 1955, or (4) retired under Act No. 4151, and who served in the active service of the Philippine Army or recognized guerrilla organizations between December 8, 1941 and September 2, 1945 and completed at least twenty years of active service on their original retirement or separation.
Covered persons are those retired under CA 190, honorably separated with gratuity under subsection (g), Section 22 of CA 190, retired under RA 340 with retirement effective date before January 1, 1955, and retired under Act No. 4151, provided they were in active service of the Philippine Army or duly recognized guerrilla organizations during Dec. 8, 1941 to Sept. 2, 1945, and completed at least twenty years active service upon original retirement or separation.
Persons separated with gratuity on account of physical disability under subsection (g), Section 22 of CA 190 who had less than twenty years active service are entitled to the benefits of the proviso contained in Section 8 of RA 340.
Persons who were retired and were paid gratuity under RA 340 with an effective retirement date prior to January 1, 1955 (and who fall within clauses (a) and (b) of the proceeding section) may, at their option, elect to receive in lieu of such gratuity the annual retirement pay under Section 2 of RA 340. Upon election, they become entitled to the annual retirement pay subject to limitations in the Act.
It is based on the same rank and rate of salary used to compute the person’s original retirement pay/pension/gratuity; or on the rank they would be entitled to be retired in under Section 10 of RA 840 (as amended by RA 878) and the base and longevity pay they would have received had they been in active service on July 26, 1948—whichever amount is greater.
They shall be retired in the rank they would have been promoted to had their pre-war permanent rank been readjusted according to the rules for readjustment of ranks of all officers in 1947–1948. Their retirement pay/pension/gratuity under RA 1862 is then computed based on the base and longevity pay for that higher rank as of July 26, 1948, unless they are entitled to a higher amount under the same section.
If such person served at least one year after the effective date when their permanent rank would have been readjusted in 1947 or 1948, they shall be retired in the rank next higher than that determined by the previous proviso, but not higher than the rank of colonel.
It is to be paid from July 26, 1948.
If they received salary or compensation from the Government or its branches, agencies, or instrumentalities for that period and it has not been previously refunded, they must choose between receiving the monthly pension for that period or retaining the salary/compensation received for the same period. They are not entitled to both.
From the retirement pay/pension/gratuity received under RA 1862, there shall be deducted any other retirement pay/pension/gratuity received from the Government that accrued and corresponds to a period after July 26, 1948.
Certificates of indebtedness issued or to be issued under RA 304 and amendatory/supplementary laws shall not be acceptable as payment of the refund required under RA 1862, notwithstanding any contrary provision.
RA 1862 shall not reduce or adversely affect retirement benefits/privileges authorized on the date it takes effect; shall not authorize payment of back monthly retirement pay or pension corresponding to periods when the retired/separated person was in active service (i.e., it does not reduce benefits and does not operate to restore/add service); and it does not restore retired/separated persons to military service or credit additional active military service.
The provisions of paragraph (e), Section of RA 340 as amended by RA 1380 are made applicable to all persons heretofore retired or separated under any provisions of RA 340 or who shall be retired under RA 1862. However, no back pension or retirement pay is payable for any period prior to July 26, 1948 by virtue of Section 9 of RA 340.
No back pension, retirement pay, or gratuity shall be payable to any person under the Act on the date it takes effect.
It appropriates the sum of one million two hundred thousand pesos and any sum appropriated by law for the retirement of members of the Armed Forces of the Philippines, made available to carry out RA 1862.
It takes effect upon its approval (approved June 22, 1957).
Yes. Section 2 provides that after making the election to receive annual retirement pay in lieu of prior gratuity, the person shall be entitled to the annual retirement pay subject to the provisions and limitations thereafter provided in RA 1862.