Presidential Decree No. 735 (PD 735) — Further Amending Certain Sections of Republic Act Numbered Eleven Hundred Sixty-One, as Amended, Otherwise Known as the "Social Security Law."
WHEREAS, on the 22nd day of December, 1973, Presidential
Decree No. 347 amended certain sections of Republic Act No. 1161, as
amended, otherwise known as the "Social Security Law";
WHEREAS, Article 178 (d) of Presidential Decree No. 442,
otherwise known as the "Labor Code of the Philippines," provides for the
integration of the benefits under Title II of Book IV of the Code with
other benefits administered by the SSS and GSIS;
WHEREAS, increases in social security benefits should now be
provided to meet the additional needs of SSS members arising from the
price increases of prime commodities and other effects of the combined
inflation and recession; and
WHEREAS, in order to bring about a more effective
implementation of social security legislation and enable the SSS to be
even more responsive to the needs of its members, it is found necessary
to further amend certain sections of the Social Security Law;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution,
do hereby order and decree:
SECTION 1. Section three of Republic Act No. 1161, as
amended, otherwise known as the Social Security Law, is further amended
to read as follows:
"SEC. 3. Social Security System—(a) To carry out
the purposes of this Act, the Social Security System with principal
place of business in Manila or Quezon City, Philippines, is hereby
created. The SSS shall be under the general supervision of a Social
Security Commission composed of the Secretary of Labor, the SSS
Administrator and six appointive members, two of whom shall represent
the labor group, two, the management group and two, the general public,
to be appointed by the President of the Philippines. The Chairman of the
Commission shall be designated by the President from among its members.
The term of the appointive members shall be three years: Provided,
That the terms of the first six appointive members shall be one, two,
and three years for every two members, respectively. All vacancies,
except through the expiration of the term, shall be filled for the
unexpired term only. The appointive members of the Commission shall
receive one hundred pesos per diem for each meeting actually attended by
them: Provided, That no compensation shall be paid for more than
eight meetings a month.
(b) The general conduct of the operations and
management functions of the SSS shall be vested in the
Administrator who shall serve as the chief executive officer
immediately responsible for carrying out the program of the SSS and the
policies of the Commission. The Administrator shall be a person
who has had previous experience in technical and administrative
fields related to the purposes of this Act. He shall be appointed
by the President of the Philippines and shall receive a salary to be
fixed by the Commission with the approval of the President, payable
from the funds of the SSS.
(c) The Commission, upon the recommendation of the
Administrator, shall appoint an actuary and such other personnel as
may be deemed necessary; fix their compensation; prescribe their duties
and establish such methods and procedures as may insure the
efficient, honest and economical administration of the provisions and
purposes of this Act: Provided, however, That the personnel of
the SSS shall be selected only from civil service eligibles certified by
the Commissioner of Civil Service and subject to civil service rules
and regulations."
SEC. 2. Paragraphs (b) and (j) of Section four of the same
Act are amended to read as follows:
"SEC. 4. Powers and duties of the Commission—
(a) * * *
(b) To submit annually not later than March 31 a
public re port to the President of the Philippines covering its
activities in the administration and enforcement of this Act during the
preceding year, including information and recommendation on broad
policies for the development and perfection of the program of the SSS.
* * *
(j) To acquire, receive, or hold, by way of purchase,
expropriation or otherwise, public or private property for the purpose
of undertaking housing projects preferably for the benefit of
low-salaried employees and for the maintenance of hospitals and
institutions for the sick, aged and infirm employees and immediate
members of their families."
SEC. 3. Paragraph (a) of Section five of the same Act is
further amended to read as follows:
"SEC. 5. (a) Settlement of Disputes—Any dispute
arising under this Act with respect to coverage, benefits, contributions
and penalties thereon or any other matter related thereto, shall be
cognizable by the Commission, and any case filed with respect
thereto shall be heard by the Commission, or any of its members, or by
hearing officers duly authorized by the Commission, and decided within
twenty days after the submission of the evidence. The filing,
determination and settlement of disputes shall be governed by the rules
and regulations promulgated by the Commission."
SEC. 4. Section six of the same Act is further amended to
read as follows:
"SEC. 6. Auditor and Counsel—(a) The Commissioner
on Audit shall be the ex-officio Auditor of the SSS. He or his
representative shall check and audit all the accounts, funds and
properties of the SSS in the same manner and as frequently as the
accounts, funds and properties of the government are checked and audited
under existing laws; and he shall have, as far as practicable, the same
powers and duties as he has with respect to the checking and auditing
of public accounts, funds and properties in general.
(b) The Secretary of Justice shall be the ex-officio counsel of
the SSS, He or his representative shall act as legal adviser and counsel
thereof."
SEC. 5. Paragraphs (e), (j), (k), (1), (m), (n) and (o) of
Section eight of the same Act are amended to read as follows:
"SEC. 8. Terms defined—For the purposes of this Act
the following terms shall, unless the context indicates otherwise, have
the following meanings:
"* * *
Dependent—The legitimate, legitimated or legally adopted
child who is unmarried, not gainfully employed, and not over twenty-one
years of age provided that he is congenitally incapacitated and
incapable of self-support physically or mentally; the legitimate spouse
dependent for support upon the employee; and the legitimate parents
wholly dependent upon the covered employee for regular support.
Employment—Any service performed by an employee for his
employer, except—
Agricultural labor when performed by a share or
leasehold tenant or worker who is not paid any regular daily wage or
base pay and who does not work for an uninterrupted period of at least
six months in a year;
Domestic service in a private home;
Employment purely casual and not for the
purpose of occupation or business of the employer;
Service performed by an individual in the employ of his
son, daughter, or spouse, and service performed by a
child under the age of twenty-one years in the employ of his parents;
Service performed on or in connection with an alien vessel by
an employee if he is employed when such vessel is out side the
Philippines;
Service performed in the employ of the Philippine Government
or instrumentality or agency thereof;
Service performed in the employ of a foreign government
or international organization, or their wholly-owned instrumentality; Provided,
however, That his exemption notwithstanding, any foreign
government, international organization, or their
wholly-Owned instrumentality, employing workers in the Philippines
or employing Filipinos outside of the Philippines may enter into an
agreement with the Philippine Government for the inclusion of such
employees in the SSS except those already covered by their respective
civil service retirement systems; Provided, further, That the
terms of such agreement shall confirm with the provisions of this Act on
coverage and amount of payment of contributions and benefits: Provided,
finally, That the provisions of this Act shall be supplementary to
any such agreement;
Such other services performed by temporary employees which
may be excluded by regulation of the Commission. Employees of bona fide
independent contractors shall not be deemed employees of the employer
engaging the services of said contractors.
Beneficiaries—The dependent spouse
until he remarries and dependent children, who shall be the primary
beneficiaries. In their absence, the dependent parents and, subject to
the restrictions imposed on dependent children, the legitimate
descendants and illegitimate children who shall be the secondary
beneficiaries. In the absence of any of the foregoing, any other person
designated by the covered employee as secondary beneficiary.
Contingency—The retirement, death, permanent disability,
injury or sickness of the covered employee.
Average monthly credit—The result obtained by dividing the
sum of the monthly salary credits in the sixty-month period immediately
preceding the semester of contingency by the number of months.9 of
coverage in the same period, or the result all obtained by dividing the
sum of all the monthly salary credits paid prior to the semester of
contingency by the number of calendar months of coverage in the same
period, whichever is greater: except where the month of contingency
falls within eighteen months from the month of coverage, in which case
it is the result obtained by dividing the sum of all monthly salary
credits paid prior to the month of contingency by the total number of
calendar months of coverage in the same period: Provided, That
the injury or sickness which caused the disability shall be deemed as
the permanent disability for the purpose of computing the average
monthly salary credit.
Average daily salary credit—The result obtained by dividing
the sum of the six highest monthly salary credits in the twelve-month
period immediately preceding the semester of sickness by one hundred
eighty.
Semester—A period of two consecutive quarters ending in the
quarter of contingency."
SEC. 6. Paragraph (b) of Section nine of the same Act is
further amended to read as follows:
SEC. 7. Section eleven of the same Act is further amended to
read as follows:
"SEC. 11. Effect of separation from employment—When
an employee under compulsory coverage is separated from employment, his
employer's contribution on his account and his obligation to pay
contributions arising from that employment shall cease at the end of the
month of separation, but said employee shall be credited with all
contributions paid on his behalf and entitled to benefits according to
the provisions of this Act. He may, however, continue to pay the total
contributions to maintain his right to full benefit.
SEC. 8. Section twelve of the same Act is further amended to
read as follows:
"SEC. 12. Basic monthly pension—A covered employee
who (1) has paid at least one hundred twenty monthly contributions to
the SSS, has reached the age of sixty years and is separated from
employment or, if still employed, is receiving less than two hundred
fifty pesos monthly compensation, or; (2) has paid at least one hundred
twenty monthly contributions and has reached the age of sixty-five
years, or; (3) has paid at least thirty-six monthly contributions and
has become permanently totally disabled, shall be entitled for as long
as he lives but in no case for less than five years to the basic monthly
pension shall be computed as follows:
Forty-five percent of the first three hundred pesos of the
average monthly salary credit or fraction thereof; plus
Twenty-five per cent of the next three hundred pesos of the
average monthly salary credit or fraction thereof; plus
Nine per cent of each succeeding one hundred pesos average
monthly salary credit or fraction thereof; plus
One tenth of one per cent of the average monthly salary credit
far each monthly contribution in excess of one hundred twenty and paid
prior to the semester of retirement: Provided, That the basic
monthly pension shall in no case be less than forty-five pesos nor paid
for less than five years."
"SEC. 12-A.—Dependents' pension—The dependents'
pension shall be equivalent to ten per cent of the basic monthly pension
for each dependent child but not exceeding five, beginning with the
youngest and without substitution."
"SEC. 12-B.—Retirement benefits—(a) A covered
employee who has paid at least one hundred twenty monthly contributions
prior to the semester of retirement, and who (1) has reached the age of
sixty years and is not receiving two hundred fifty pesos or more monthly
compensation, or (2) has reached the age of sixty-five years, shall be
entitled for as long as he lives to one hundred fifteen percent of the
basic monthly pension: Provided, That his dependents born before
his retirement of a marriage subsisting when he was fifty-seven years
old shall be entitled to the dependents' pension: Provided, further,
That the foregoing benefits shall take effect on July 1, 1975: Provided,
finally, That the monthly pension of a surviving pensioner retired
due to old age before July 1, 1975 shall be increased by fifteen percent
and the amount shall be his new monthly pension beginning with
said date.
(b) A covered member who is sixty years old at retirement and
who does not qualify for pension benefits under paragraph (a) above,
shall be entitled to a lump sum benefit equal to the total contributions
paid by him on his behalf, provided that he is separated from
employment and is not continuing payment of contributions to the SSS
on his own.
(c) The monthly pension and dependents' pension shall be
suspended:
Upon the re-employment of a retired employee who is
less than sixty-five years old if he receives from his employment a
monthly compensation of two hundred fifty pesos or more.
Upon the recovery of an employee retired due to permanent
total disability, or his failure to present himself for
examination at least once a year upon notice by the SSS.
SEC. 9. Compulsory coverage— * * *
(b) Filipinos recruited in the Philippines by foreign-based
employers for employment abroad may be covered by the SSS on a voluntary
basis.
SEC. 10. Section thirteen-A of the same Act is further
amended to read as follows:
"SEC. 13-A. Permanent disability benefits—(a) Upon
the covered employee's permanent total disability, if such disability
occurs after he has paid at least thirty-six monthly contributions prior
to the semester of disability, he shall be entitled to the basic
monthly pension and, upon his death, his dependents shall be entitled to
the dependents' pension: Provided, That if such disability
occurs before he has paid thirty-six monthly contributions prior to the
semester of disability, he shall be entitled to a lump sum benefit
equivalent to thirty five times the basic monthly pension: Provided,
further, That the benefit shall not be less than the total
contributions paid by him and his employer on his behalf nor less than
five hundred pesos: Provided, however, That a covered employee
who becomes permanently totally disabled in the month of coverage shall
be entitled to the minimum benefit.
(b) The monthly pension shall be suspended upon his
re-employment if he receives a monthly compensation of two hundred
fifty pesos or more, or his recovery from the permanent total
disability, or his failure to present himself for examination at
least once a year upon notice by the SSS. (c) The following
disabilities shall be deemed permanent total:
Complete loss of sight of both eyes;
Loss of two limbs at or above the ankle or wrist;
Permanent complete paralysis of two limbs;
Brain injury resulting in incurable imbecility or
insanity; and
Such cases as determined and approved by the SSS.
(d) If the disability is permanent partial, and
such disability occurs before thirty-six monthly
contributions have been paid preceding the semester of
disability, the benefit shall be such percentage of the lump sum
benefit described in the preceding paragraph with due regard to the
degree of disability as the Commission may determine.
(e) If the disability is permanent, partial, and such
disability occurs after thirty-six contributions have been paid
preceding the semester of disability, the benefit shall be the basic
monthly pension for permanent total disability payable not longer than
the period designated in the following schedule:
Complete and Permanent
Loss of the Use of
Number of
Months
One thumb
8
One index finger
6
One middle finger
5
One ring finger
4
One little finger
2
One big toe
5
Any toe
2
One hand
31
One arm
40
One foot
25
One leg
37
One ear
8
Both ears
16
Hearing of one ear
8
Hearing of both ears
40
Sight of one eye
20
(f) The percentage degree of disability, which is
equivalent to the ratio that the designated number of months of
compensability bears to sixty, shall not be additive for
distinct, separate and unrelated permanent partial disabilities,
but shall be additive for deteriorating and related permanent partial
disabilities, to a maxi mum of one hundred per cent, in which
case the employee shall be deemed as permanently totally
disabled."
SEC. 11. A new section is added to the same Act designated
as Section thirteen-B to read as follows:
"SEC. 13-B. Funeral benefit—A funeral grant of
seven hundred fifty pesos shall be paid to help defray the cost of
funeral expenses upon the death of a covered member, permanently totally
disabled employee or retiree."
SEC. 12. Section fourteen of the same Act is further amended
by amending the first part of paragraph (a), item (1) of paragraph (a),
paragraph (b) and paragraph (d), to read as follows:
"SEC. 14. Sickness benefit,—(a) Beginning July 1,
1975, any covered employee under this Act who has paid at least three
monthly contributions in the twelve month-period immediately preceding
the semester of sickness and is confined for more than three days in a
hospital or elsewhere with the Commission's approval, shall for each day
of compensable confinement or fraction thereof be paid by his employer,
or by the SSS if such person is unemployed, an allowance equivalent to
eighty five per cent of his average daily salary credit, subject to the
following conditions:
In no case shall the total amount of such daily allowance be
less than two pesos and fifty centavos nor exceed sixteen pesos nor paid
longer than one hundred twenty days in one calendar year; nor shall any
unused portion of the one hundred twenty days of sickness benefit
granted under this section be carried forward and added to the total
number of compensable days allowable in the subsequent year;
(b) The compensable confinement shall begin on the first day of
sickness, and the payment of such allowances shall be promptly made by
the employer every regular payday or on the fifteenth and last day of
each month, and similarly in the case of direct payment by the SSS, for
as long as such allowances are due and payable: Provided, That
such allowance shall begin only after all sick leaves of absence with
full pay to the credit of the employee shall have been exhausted.
(d) Where the employee has given the required notification but
the employer fails to notify the SSS of the confinement or to file the
claim for reimbursement within the period prescribed in this section
resulting in the reduction of the benefit or denial of the claim, such
employer shall have no right to recover the corresponding daily
allowance he advanced to the employee as required in this section."
SEC. 13. Section fifteen of the same Act is further amended
to read as follows:
"SEC. 15. Non-transferability of benefits—The
SSS shall pay the benefits provided for in this Act to such
persons as may be entitled thereto in accordance with the
provisions of this Act: Provided, That the
beneficiary who is a national of a foreign country which
does not extend benefits to a Filipino beneficiary
residing in the Philippines, or which is not recognized
by the Philippines, shall not be entitled to receive any
benefits under this Act: Provided, further, That
notwithstanding the foregoing, where the best interest
of the SSS will be served, the Commission may direct
payments without regard to nationality or country of residence: Provided,
further, That if the recipient is a minor or a person incapable of
administering his own affairs, the Commission shall appoint a
representative under such terms and conditions as it may deem
proper; Provided, further, That such appointment shall
not be necessary in case the recipient is under the custody of or
living with the parents or spouse of the employee in which case the
benefits shall be paid to such parents or spouse, as representative
payee of the recipient. Such benefits are not transferable
and no power of attorney or other document executed by those entitled
thereto, in favor of any agent, attorney, or any other person for
the collection thereof on their behalf shall be
recognized, except when they are physically unable to
collect personally such benefits: Provided, further, That in case
of death benefits, if no beneficiary qualifies under this
Act, said benefits shall be paid to the legal heirs in
accordance with the law of succession: Provided, finally,
That notwithstanding any law to the contrary, the
payment of benefits under this Act shall bar the recovery
of similar benefits under Title II of Book IV of the
Labor Code of the Philippines, as amended, during the period of such
payment for the same contingency, and conversely."
SEC. 14. Section sixteen of the same Act is further amended
to read as follows:
"SEC. 16. Exemption from tax, legal process and lien—All
laws to the contrary notwithstanding, the SSS and all its assets and
properties, all contributions collected and all accruals thereto and
income or investment earnings therefrom as well as all supplies,
equipment, papers or documents which may be required in connection with
the operation or execution of this Act shall be exempt from any tax,
assessment, fee, charge, or customs or import duty; and all benefit
payments made by the SSS shall likewise be exempt from all kinds of
taxes, fees or charges, and shall not be liable to attachment,
garnishment, levy or seizure by or under any legal or equitable process
whatsoever, either before or after receipt by the person or persons
entitled thereto, except to pay any debt of the covered employee to the
SSS. No tax measure hereafter enacted shall apply to the SSS, unless it
expressly revokes the declared policy of the state in Section 2 hereof
granting tax-exemption to the SSS. Any tax assessment against, and
still unpaid by the SSS shall be null and void."
SEC. 15. Section twenty-three of the same Act is further
amended to read as follows:
"SEC. 23. Method of collection and payment.—The
SSS shall require a complete and proper collection and payment of
contributions and proper identification of the employer and the
employee. Payment may be made in cash, checks, stamp, coupons, tickets,
or other reasonable devices that the Commission may adopt."
SEC. 16. Section twenty-four of the same Act is further
amended by amending paragraphs (a), (b) and (c), and adding paragraph
(f), to read as follows:
"SEC. 24. Employment records and reports—Each
employer shall immediately report to the SSS the names, ages, civil
statuses, occupations, salaries and dependents of all his employees who
are subject to compulsory coverage: Provided, That if an employee
subject to compulsory coverage should die or become sick or disabled or
reach the age of sixty without the SSS having previously received any
report or written communication about him from his employer or a
contribution paid in his name by his employer, the said employer shall
pay to the SSS damages equivalent to the benefits to which said employee
would have been entitled had his name been reported on time by the
employer to the SSS, except that in the case of pension benefits, the
employer shall be liable for the actuarial lump sum equivalent of both
the basic and dependents' monthly pensions: Provided, further,
That if the contingency occurs within thirty days from the date of
employment, the employer shall be relieved of his liability
for damages.
(b) Should the employer misrepresent the true date of
employment of his employees, fail to remit contributions
or remit to the SSS contributions which are less than those required
in this Act, resulting in a reduction of benefits, the
employer shall pay to the SSS damaged to the extent of
such reduction, but said employer shall be relieved of his civil
liability for the corresponding unremitted contributions and
penalties thereon.
(c) The records and reports duly accomplished and
submitted to the SSS by the employee or the employer, as the case may
be, shall be kept confidential by the SSS except in compliance with a
subpoena duces tecum issued by the Courts, shall not be divulged without
the consent of the Administrator or any official of the SSS duly
authorized by him, shall be presumed correct as to the data and other
matters stated therein, unless the necessary corrections to such records
and reports have been properly made by the parties concerned before the
right to the benefit being claimed accrues, and shall be made the basis
for the adjudication of the claim. If as a result of such
injunction the SSS in good faith pays a monthly pension to a
beneficiary who is inferior in right to another beneficiary or with whom
another beneficiary is entitled to share, such payments shall
discharge the SSS from liability, unless and until such other
beneficiary notifies the SSS of his claim prior to the payments.
(f) Notwithstanding any law to the contrary, microfilm
copies of original SSS records and reports, duly certified by
the official custodian thereof, shall have the same evidentiary value
as the originals and be admissible as evidence in all legal
proceedings."
SEC. 17. Section twenty-five of the same Act is further
emended to read as follows:
"SEC. 25. Deposit and disbursements—All moneys paid to or
collected by the SSS every year under this Act, and all accruals
thereto shall be deposited, administered and disbursed in the same
manner and under the same conditions and requirements as provided by law
for other public special funds: Provided, That of the total
yearly collection of contributions and gross income from investments,
not more that twelve per cent shall be disbursed for salaries and wages,
purchases of office equipment and materials, operational expenses and
the maintenance of regional offices of the SSS; Provided, further,
That if the expenses in any year are less than the maximum amount
permissible, the difference shall not be availed of as additional
expenses in the following years.
SEC. 18. Section twenty-six of the same Act is further
amended by amending paragraphs (d) and (g) to read as follows:
"SEC. 26. Investment of reserve funds—
(d) In direct housing loans to covered employees and housing
projects giving priority to the low-income groups, up to a maximum of
ninety per cent of the appraised value of the properties to be mortgaged
by the borrowers and the maintenance of hospitals and institutions for
the sick, aged and infirmed members and their families, referred to in
section four (j) of this Act.
(g) As part of its investment operations, the SSS shall act as
insurer of all or part of its interests on SSS properties, properties
mortgaged to the SSS, or lives of mortgagors whose properties are
mortgaged to the SSS. For this purpose, the SSS shall established a
separate account to be known as the "Mortgagors' Insurance Account." All
amounts received by the SSS in connection with the aforesaid insurance
operations shall be placed in the Mortgagors' Insurance Account. The
assets and liabilities of the Mortgagors' Insurance Account shall at all
times be clearly identifiable and distinguishable from the assets and
liabilities in all other accounts of the SSS. Notwithstanding any
provision of law to the contrary, the assets held in the Mortgagors'
Insurance Account shall not be chargeable with the liabilities arising
out of any other business the SSS may conduct but shall be held and
applied exclusively for the benefit of the owners or beneficiaries of
the insurance contracts issued by the SSS under this paragraph.
(h) The SSS may insure any of its interests or part thereof with
any private company or re-insurer. The Insurance Commission or its
authorized representatives shall make an examination into the financial
condition and methods of transacting business of the SSS at least once
in two years but such examination shall be limited to the insurance
operation of the SSS as authorized under this section and shall not
embrace the other operations of the SSS; and the report of said
examination shall be submitted to the Commission and a copy thereof
shall be furnished the Office of the President of the Philippines within
a reasonable time after the close of the examination: Provided,
That, for each examination the SSS shall pay to the Insurance Commission
an amount equal to the actual expenses of the Insurance Commission in
the conduct of the examination, including the salaries of the examiners
and of the actuary of the Insurance Commission who have been assigned to
make such examination for the actual time spent in said examination: Provided,
further, That the general law on insurance promulgated thereunder
shall have suppletory application insofar as it is not in conflict with
the SSS Law and its rules and regulations.
SEC. 19. Section twenty-eight of the same Act is further
amended by amending paragraph (i) to read as follows:
"SEC. 28. Penal clause—
(i) Criminal action arising from a violation of the provisions
of this Act may be commenced by the SSS or the employee concerned either
under this Act or in appropriate cases under the Revised Penal Code: Provided,
That such criminal action shall be filed by the SSS in the city or
municipality where the SSS Regional Office is located if the violation
was committed in its territorial jurisdiction or, at the option of the
SSS, in the greater Manila."
SEC. 20. Section thirty-one of the same Act is further
amended to read as follows:
"SEC. 31. Saving clause—The Assembly hereby
reserves the right to amend, alter, or repeal any provision of this Act,
and no person shall be or shall be deemed to be vested with any
property or other right by virtue of the enactment or operation of
this Act.
SEC. 21. Section thirty-two of the same Act is hereby
deleted.
SEC. 22. The word "System" and the term "Social
Security System" as used in Republic Act No. 1161, as amended, for
purposes of uniformity, are hereby replaced by "SSS", except in
provisions wherein the use of such word or term, as the case may be, are
considered necessary.
SEC. 23. This Decree shall take effect immediately.
Done in the City of Manila, this 27th day of June, in the year
of Our Lord, nineteen hundred and seventy-five.
(Sgd.)
FERDINAND E. MARCOS
President
Republic of the Philippines
By the President:
(Sgd.)
ALEJANDRO MELCHOR
Executive Secretary
SEC. 9. Section thirteen of the same Act is further amended
to read as follows:
"SEC. 13. Death benefits.—Effective July 1, 1975,
upon the covered employee's death, (a) his primary beneficiaries shall
be entitled to the basic monthly pension, and his dependents to the
dependents' pension: Provided, That he has paid at least
thirty-six monthly contributions prior to the semester of death: Provided,
further, That if the foregoing condition is not satisfied, or if he
has no primary beneficiaries, his secondary beneficiaries shall be
entitled to a lump sum benefit equivalent to thirty times the basic
monthly pension: Provided, however, That the. death benefit shall
not be less than the total contributions paid by him and Ha employer on
his behalf nor less than five hundred pesos: Provided, finally,
That the covered employee who dies in the month of coverage shall be
entitled to the minimum benefit.
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
