Manila: The chairperson of the House Committee on Ways and Means on Monday stated that the government has the resources to support the proposed universal social pension for senior citizens. Albay Representative Joey Salceda urged the Senate to approve the bill that grants a PHP1,000 pension to all Filipino senior citizens, assuring lawmakers that the program is financially sustainable.
According to Philippines News Agency, Salceda, who also leads the House's Joint Committee on Senior Citizen and PWD Benefits, had discussions with Senator Imee Marcos, chair of the Senate Committee on Social Justice, Welfare, and Rural Development, to advance the bill's passage. Salceda mentioned that during Senator Marcos's visit to Albay, he assured her of the fiscal sustainability of the universal social pension and discussed the possibility of the Senate committee passing it during the break. He also committed to sourcing the necessary funds.
Salceda referred to government estimates indicating that the incremental cost of the program would be PHP28.8 billion in the first year, covering 2.4 million new recipients; PHP43.7 billion in the second year, covering 3.64 million additional recipients; and PHP68.9 billion in the third year, covering 5.74 million total new beneficiaries. His proposal outlines a phased approach to implementation, starting with seniors aged 70 and above in the first year, extending to those 65 and above in the second year, and including all seniors aged 60 and above in the third year. Current beneficiaries would retain their benefits, with adjustments indexed to the cost of living.
The projected senior citizen population in 2024 is 16.39 million, with 3.7 million currently receiving social pensions. Salceda proposed funding the program by reducing the ayuda budget by 10 percent and increasing taxes on pickup trucks, vape products, and mining operations. He emphasized that this pension is a right earned by seniors through their lifetime contributions to the economy, not merely a government handout.
Salceda connected the pension program to his advocacy for Universal Basic Income (UBI), suggesting that taxation should support those who can no longer work. In May 2024, the House of Representatives passed House Bill 10423 with 232 affirmative votes, aiming to expand the social pension to all senior citizens, not just indigents. Under Republic Act No. 7432, indigent seniors currently receive a PHP1,000 monthly stipend for basic needs and medical expenses. If the bill becomes law, it would provide a PHP500 monthly stipend for non-indigent seniors, with the goal of establishing a universal social pension of at least PHP1,000 for all seniors within five years, regardless of other pension benefits.
