Malacañang on Thursday confirmed that concerned government agencies, including the Department of Budget and Management (DBM), are continuing their comprehensive review of the Military and Uniformed Personnel (MUP) pension system to guarantee that future compensation and retirement benefits remain balanced, fair and fiscally sustainable.
Palace Press Officer Claire Castro stated that the Inter-Agency Technical Working Group (IATWG), established to evaluate the MUP pension system under Executive Order (EO) No. 107, is still working on its assessment and has yet to submit its formal recommendations to President Ferdinand R. Marcos Jr.
“Tungkulin ng nasabing inter-agency na magsagawa nang malalim na pag-aaral upang matiyak na magiging balanse, makatarungan at fiscally sustainable ang sistema ng pension,” Castro explained.
President Marcos signed EO 107 in December 2025, which updated the base pay schedule and raised the daily subsistence allowance for uniformed services while mandating an extensive review of the existing MUP pension structure.
The IATWG, composed of representatives from the DBM, Department of Finance (DOF), Bureau of the Treasury (BTr), and the Government Service Insurance System (GSIS), was tasked with leading the review and recommending appropriate measures or proposed legislation. Affected MUP agencies have been instructed to lend full administrative and technical support to the effort.
While the working group was originally given 180 days to present its findings to the Chief Executive, Castro acknowledged that completing the necessary documentation and in-depth research contributed to delays beyond the initial deadline.
She noted that the Palace needs to verify with the DBM regarding complete submissions, emphasizing that a thorough and meticulous study is vital to crafting sound policy.
The current effort to reform and update benefits applies across all personnel under the Department of National Defense (DND), Department of the Interior and Local Government (DILG), Philippine Coast Guard (PCG), Bureau of Corrections (BuCor) and the National Mapping and Resource Information Authority (NAMRIA).