Marcos Economic Team Reviews MUP Pension for Possible Revamp

The economic team of President Ferdinand Marcos Jr. is reviewing the Military and Uniformed Personnel (MUP) pension system amid discussions on a possible revamp, as the government weighs long-term fiscal sustainability against commitments to uniformed services.

Officials said the review is exploratory, focusing on options that could improve the system’s sustainability while preserving benefits already earned. Any adjustments, they stressed, would respect existing laws and take into account the welfare of active and retired personnel.

The MUP pension system has long been cited as a significant and growing obligation within the national budget. Analysts note that as the beneficiary base expands, the cost trajectory raises questions about future funding and intergenerational equity—issues typically addressed through technical studies and phased reforms.

Government sources emphasized that no final proposal has been adopted and that consultations remain ongoing. Any changes would require coordination among economic managers, security institutions, and lawmakers, and would be subject to legislative action where necessary.

For policymakers, the challenge is balance: honoring service while ensuring that pension commitments remain viable for decades to come.

In public finance, reform is rarely about cuts—it’s about durability.