Question & AnswerQ&A (Acts No. 4183)
The Act authorizes the payment of retirement gratuities to provincial and municipal officers and employees who resign or are separated from service due to reorganization, under certain conditions.
The provincial boards and municipal councils may retire their officers and employees with the approval of the Secretary of the Interior.
The gratuity is equivalent to one month's salary for each year or fraction of a year of service, based on the salary at the time of leaving service, but shall not exceed twenty-four months in any case.
The gratuity is paid monthly at the rate of thirty-three and one-third percent of the monthly salary.
Yes, with the approval of the Secretary of the Interior and in conformity with regulations approved by the Secretary of Finance, the gratuity payments may be sold, transferred, or assigned to any investment fund under the Insular Government or to any authorized bank.
No, the gratuity provided under this Act shall not be subject to levy or execution.
No, if entitled to benefits under this Act and other laws or special pension funds, the retired officer or employee has the right to choose one benefit only and cannot receive gratuity payments under more than one Act.
The position may be filled with approval from the Secretary of the Interior and the concerned provincial board or municipal council, but the successor's salary shall not exceed two-thirds of that of the vacant position.
No, unless they refund the total gratuity received or agree to monthly deductions if unable to pay in full. This refund requirement does not apply to those elected to elective office.
This Act took effect upon its approval on December 7, 1934.