Title
Uniform Procedure for Govt Employee Retirement
Law
Executive Order No. 966
Decision Date
Jun 22, 1984
Executive Order No. 966 establishes a streamlined procedure for the implementation of retirement laws in the Philippine national government, ensuring prompt payment of retirement benefits to retiring officials and employees.
A

Basic Eligibility Requirements

  • Retiring officials/employees must have rendered creditable service.
  • Must meet all other requirements specified in the applicable retirement law and these rules.

Crediting Agency

  • The Government Service Insurance System (GSIS) is responsible for accrediting government services for purposes of retirement.
  • GSIS may issue additional accreditation rules consistent with existing law.

Definition of Creditable Service

  • Includes all previous government service under permanent, provisional, or temporary appointment.
  • Services with duly approved Civil Service appointment with salary, provided last 3 years before retirement are continuous or exempted for reorganization/separation circumstances.
  • Authorized sick leave without pay, not exceeding 1 year in a single instance.
  • Period out of service due to illegal termination if finally decided by proper authorities.
  • Period of Japanese occupation (Jan 1, 1942 to Feb 26, 1945) if employed at the outbreak of WWII.
  • Active military service of reserve officers/enlisted men not integrated into regular forces, honorably discharged without benefits.
  • Previously retired service provided money value of unexpired benefits has been refunded.

Continuity of Service

  • Continuity not interrupted by authorized vacation leave without pay not exceeding 1 year.
  • Periods out of service due to reorganization, abolition, or reduction-in-force not exceeding 1 year, provided refund of unexpired benefits if applicable.
  • Service in foreign governments or international organizations under Philippine government's commitment, but salary from foreign entity not credited in retirement benefit money value.

Non-Creditable Periods

  • Contractual, emergency, or casual service prior to and including period from voluntary resignation to reemployment.
  • Services rendered voluntarily without basic compensation.
  • Service periods separated due to administrative cases.
  • Periods from separation due to administrative cases until reemployment after executive clemency.
  • Periods while dropped from Civil Service rolls until reemployment.
  • Unauthorized leaves or excess authorized leave without pay beyond 1 year.

Computation of Retirement Benefits

  • Solely computed by the GSIS.
  • Based on creditable service as determined by these rules.
  • Uses the highest basic salary rate actually received.

Definition of Highest Basic Salary Rate

  • Includes salary fixed by law or indicated in approved appointment.
  • Includes authorized adjustments, merit increases, compensation for substitutionary or acting capacity service.
  • Excludes per diems, allowances, bonuses, overtime, honoraria, hazard pay, consultancy fees, and similar fringe benefits.

Funds Disposition and Allocation

  • Ministry of the Budget handles disposition and allocation of funding for retirement benefits.
  • Cases with discrepancies or suspensions referred to Civil Service Commission for creditable service determination.

Source of Funds for Payment

  • Payments made by national government agencies from appropriations in the General Appropriations Act or savings from budget allotments.
  • Memorandum Circular No. 133 dated October 16, 1967 remains effective.

Expeditious Processing and Payment

  • Heads of ministries, bureaus, and agencies directed to streamline retirement processing.
  • Retirement gratuity must be paid on the day of retirement or soon thereafter.

Effectivity

  • These rules took effect immediately upon approval on June 22, 1984.

Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.