Senator Loren Legarda lauded the signing into law of Republic Act (RA) 12181, known as the Adjusted DFA Retirement Benefits Act, which honors the service of officers and employees of the Department of Foreign Affairs (DFA) and strengthens the foundations of Philippine diplomacy.
President Ferdinand R. Marcos Jr. on Monday signed the new law, which Legarda principally authored and co-sponsored in the Senate.
“Our foreign service officers operate in complex and often high-risk environments, tasked with safeguarding national interests and strengthening bilateral and multilateral ties,” Legarda said in a news release on Thursday.
“This law allows for a more equitable retirement framework that reflects the strategic value of their work and ensures their welfare beyond active service.”
Under the new law, DFA retirees receiving monthly pensions from the Government Service Insurance System (GSIS) will receive a Monthly Pension Differential (MPD), which shall be the difference between the adjusted monthly pension computed by the DFA and the actual monthly pension provided by the GSIS, multiplied by an adjustment factor initially set at 50 percent. This aligns the benefits of retired personnel with updated compensation standards.
The law also grants a monthly gratuity benefit to those who opted to retire under RA 1616, and ensures that all benefits granted are exempt from income tax, attachment, levy, and garnishment, protecting retirees from financial vulnerability. Crucially, survivorship benefits are also extended to qualified dependents of retirees.
Beyond financial compensation, RA 12181 is a strategic investment in the country’s diplomatic architecture.
In a sector where institutional memory, experience, and continuity are invaluable, ensuring a dignified and secure retirement is essential not only to honor past service but also to attracting and retaining committed foreign service officers.
“This measure strengthens the policy environment for career development in the foreign service by providing a clear, sustainable retirement framework. It reinforces institutional continuity, boosts morale, and affirms that diplomacy is a long-term professional commitment vital to national interest. We hope it also inspires more Filipinos to pursue a career in diplomacy as a worthy and honorable path in public service,” Legarda said. (PNA)
