Possible PERA Increase in 2027 Brings New Hope for Teachers, Government Workers

ACT Teachers Party-list Representative and House Deputy Minority Leader Antonio Tinio is urging the Department of Budget and Management (DBM) to follow through on its plan to recommend an increase in the Personnel Economic Relief Allowance (PERA) of government employees beginning in 2027.

During the Development Budget Coordination Committee (DBCC) hearing on the proposed 2027 national budget, Tinio pressed DBM Acting Secretary Kim Robert de Leon over the agency’s disclosure that it is conducting a study on a possible PERA adjustment.

“Tama po ba ang intindi ko, sabi ni Secretary Kim, may study ngayon and then they will hopefully recommend to the President that by 2027 ay mag-implement ng increase sa PERA o Personal Economic Relief Allowance. Tama po ba ang intindi ko? Yun ang sinabi nyo kanina?” Tinio asked.

De Leon confirmed the statement, prompting Tinio to declare that the commitment should now be closely guarded as Congress deliberates on the proposed budget.

“Touch-move na yan. Ibig sabihin, ang plano talaga or recommendation is by 2027, may increase sa PERA. At matutuwa po ang lahat ng mga government employees na nandito, yung mga regular. Dahil pinag-uusapan natin yung additional 2,000 a month na matagal ng napako,” Tinio said.

PERA Has Remained at ₱2,000 for Years

PERA is a monthly allowance intended to supplement the salaries of government personnel amid the rising cost of living.

The allowance has remained at ₱2,000 per month since 2009, when DBM Budget Circular No. 2009-3 combined the previous ₱500 PERA and ₱1,500 Additional Compensation into a single ₱2,000 monthly benefit.

Despite years of increases in prices and living expenses, the amount has remained unchanged. Current government budget rules continue to provide a ₱2,000 monthly PERA for covered civilian government personnel.

During the hearing, DBM officials reportedly estimated that every ₱1,000 increase in PERA would require around ₱24 billion annually.

Tinio therefore turned his attention to the Miscellaneous Personnel Benefits Fund or MPBF, a special-purpose fund used for personnel-related requirements of national government agencies.

₱55.86 Billion Proposed for MPBF

The official 2027 National Expenditure Program confirms that the government is proposing approximately ₱55.865 billion for the Miscellaneous Personnel Benefits Fund next year. The amount is lower than the roughly ₱77.048 billion provided for the fund in 2026.

Tinio argued that the fund should be protected during congressional budget deliberations if the administration is serious about implementing a PERA increase.

“Kaya ko po tinatanong yan kasi nga, 55 billion pesos ang nasa MPBF. Isang lump sum po yan at sabi nyo, dyan maaaring kunin,” Tinio said.

He further warned against reducing or realigning the allocation to accommodate other items during the legislative process.

“And earlier, in my interpretation sinabi ko, historically, yung MPBF, isa sa mga ginagalaw, binabawasan to make room for congressional insertion. So, kaya gusto ko pong idiin, Mr. Chair, na malinaw na ang plano dito, sa P55 billion ay pangpondo sa PERA ng mga government employees. So dapat hindi na ito galawin at bawasan ng Kongreso,” he stressed.

The proposed ₱7.2-trillion national budget for 2027 was formally submitted to Congress this month and will still undergo House and Senate deliberations before a final General Appropriations Act is approved.

Tinio Points to Higher Allowances for Uniformed Personnel

Tinio also compared the long-stagnant PERA of civilian employees with recent improvements in the compensation and allowances of military and uniformed personnel.

The government increased the subsistence allowance of covered uniformed personnel from ₱150 to ₱350 per day beginning January 1, 2026, while the increase for Armed Forces of the Philippines personnel had already taken effect earlier. DBM said around ₱71.5 billion was allocated in the 2026 budget to sustain the higher subsistence allowance.

Tinio said around ₱74 billion has again been provided across agency budgets for the subsistence allowance in the proposed 2027 spending plan.

“Ang pinupunto ko lang ay ganun kalaki po ang nilaan for the increase in subsistence allowance. Bali second year na po ito. Tama ba? So kailangan na pong ihabol natin yung sa civilian which is PERA,” Tinio said.

“So wala na pong galawan. Yung lang sinasabi na. Babantayan po natin ito,” he added.

Teachers, Government Workers Could Benefit

Any increase in PERA would have a direct impact on qualified civilian government personnel, including public school teachers, non-teaching personnel and other government employees who have continued to receive the same ₱2,000 monthly allowance for more than a decade.

However, the proposed increase is not yet final or guaranteed. DBM has confirmed that a study is underway and that a recommendation may be submitted to the President for implementation in 2027. The amount of the increase, final funding mechanism and necessary budget authorization will still have to go through the appropriate executive and congressional processes.

For Tinio, the presence of nearly ₱56 billion in the proposed MPBF gives the government an opportunity to finally address the long-standing call for a higher allowance.

The ACT Teachers lawmaker said he would continue watching the 2027 budget deliberations to prevent the fund from being reduced or redirected and to ensure that government employees finally receive a meaningful adjustment in their monthly PERA.

For teachers and other civilian workers who have received the same ₱2,000 allowance since 2009, the coming months of budget deliberations could determine whether a long-awaited PERA increase finally becomes a reality in 2027.