Philippine Supreme Court Resolutions


Philippine Supreme Court Resolutions > Year 1997 > June 1997 Resolutions > [ADMINISTRATIVE MATTER NO. 91-8-225-CA : June 10, 1997] RE: RATA DIFFERENTIALS OF RETIRED JUSTICES OF THE SUPREME COURT :






[ADMINISTRATIVE MATTER NO. 91-8-225-CA : June 10, 1997]

RE: RATA DIFFERENTIALS OF RETIRED JUSTICES OF THE SUPREME COURT


Gentlemen:

Quoted hereunder, for your information, is a resolution of the Court En Banc dated June 10, 1997.

ADMINISTRATIVE MATTER NO. 91-8-225-CA.- (RE: RATA DIFFERENTIALS OF RETIRED JUSTICES OF THE SUPREME COURT)

Retired Justices C.M. Vasquez, H. Concepcion, Jr., P. de Castro, L. Relova, E.A. Gancayco, H.E. Gutirrez, E.I. Plana, V. Excolin, B.S. dela Fuente and L. Patajo have requested readjustment or recomputation of their respective monthly pensions by including therein the increases in representation and transportsation allowances (RATA) of incumbent Justices, as authorized in 1993 and subsequent calendar years. They cite, to show the validity of their claim, two enbanc Resolutions of the Court dated November 19, 1992, and October 24, 1995, Adm. Matter No. 91-8-225-CA. and G.R. No. 103524, "C. Bengzon et al. vs. Drilon, et al."

The first resolution granted the request in 1992 of retired Justice Cecilia Mu�oz-Palma (retired in 1978) for readjustment of her monthly pension at P24,550.00 (the aggregate of the then current salary of P19,550.00 and allowances or RATA of P5,000.00) received by an incumbent Association Justice, pursuant to the retirement law as amended by R.A. No. 1797. The other resolution, which approved and gave due course to the request of retired Justices for readjustment in accordance with R.A. No. 1797 of their pensions covered by the initial lump sum payments upon retirement, categorically stated inter alia:

"2. In case the salary or the representation, living and transportation allowances or both of an incumbent Justice are increased, such increases salary and representation, living and transporattion allowances shall be deemed to be the retirement benefit of the retired Justice, effective upon the date of the said increases." (underscoring supplied; par. 2 of dispositive portion)

It appearing that R.A. No. 1797, enacted in 1957, was intended to upgrade the retirement benefits/pensions of all retired Justices of the Supreme Court by providing for the automatic adjustment of their pensions whenever there is an increase in the incumbents compensation or salary, making the current renumeration as the parameter or determinant of their pensions (instead of retiree's salary upon retirement); that their said pensions were increased in 1978 by P.D. No. 1438 which integrated in the retirement package "the highest monthly aggregate of transportation, living and representation allowances" of retiring Justices the rationale being that these allowances "constitute integral part of their renumeration" (par. 2 of the Decree); and that under the retirement law as amended, and as held by this Court's en banc resolution in A.M. No. 90-019-SC, their retirement benefits now consist of three components, "salary" "loongevity pay", and the aforementioned "allowances" (RATA); and

Considering that the principle of uniformity is applicable to the com[putation of their pensions paid in lumpsum upon retirement and those paid after the fifth year, and that retirememnt statutes are liberally construed and any doubt should be resolved in favor of the intended beneficiaries or retirees; the Court Resolved (a) to REITERATE the abovementioned en banc resolutions; (b) ton grant the request of the retired Justices of the Supreme COurt for readjustment of their pensions based on the current "salary and allowances" of counterparts in the Court, and (c) to DIRECT the Court's Fiscal Management and Budget Office to recompute and pay the pension differentials of the retired Justices for 1993 and subsequent years, as properly adjusted.

Padilla and Francisco, JJ., on leave.

Very truly yours,

 
(SGD.) LUZVIMINDA D. PUNO
Clerk of Court



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