A lawmaker from Parañaque is seeking to more than double the Personnel Economic Relief Allowance (PERA) of government workers, filing a measure that would raise the monthly benefit from P2,000 to P5,000 to help cushion the impact of inflation.
House Bill 9475, filed by Rep. Brian Yamsuan of Parañaque, seeks to update a benefit that has remained unchanged for 17 years, despite sustained increases in the cost of food, utilities, transport, and other basic goods affecting millions of public sector employees.
Among those expected to benefit from the proposed hike are public school teachers, public health workers, clerks, and maintenance personnel, along with other civilian government employees under the compensation and position classification system.
He said the current allowance has significantly lost value over time, as inflation continues to erode the purchasing power of fixed incomes.
“Patuloy na lumiliit ang value ng kanilang kita dahil sa inflation,” he pointed out, noting that many government workers are among those most affected by rising daily expenses such as electricity and transportation costs.
The proposal also covers military and uniformed personnel, while excluding government employees stationed abroad who already receive overseas allowances.
Under the bill, PERA is intended to be restored as a meaningful economic buffer, reflecting current living conditions and providing additional support to workers delivering frontline public services.
The measure also mandates a periodic review of the allowance every three years by the Department of Budget and Management, in coordination with the Civil Service Commission, the Department of Economic Planning and Development, and other agencies, to ensure adjustments align with inflation and fiscal capacity.
Initial funding for the increase would be sourced from government savings, including unreleased and programmed appropriations, with subsequent funding to be included in the annual General Appropriations Act.
First introduced in 1991 at P500 per month and last adjusted in 2009 to P2,000, the PERA has not been revised since, despite significant changes in the cost of living over the past decades.