The Social Security (Philippines) Order 1989

PART III SPECIAL PROVISIONS

Section 1 special provisions relating to the application of the legislation of the philippines and the legislation of the united kingdom.

ARTICLE 9

(1) For the purpose of calculating entitlement under the legislation of the United Kingdom to old age pension in accordance with Article 12 of this Convention or to survivor’s benefit in accordance with Article 15, contribution periods completed under the legislation of the Philippines before6 April 1975 shall be treated as if they had been contribution periods completed under the legislation of the United Kingdom.

(2) For the purpose of calculating entitlement under the legislation of the United Kingdom to old age pension in accordance with Article 12 of this Convention or to survivor’s benefit in accordance with Article 15, contribution periods completed as a self-employed person under the legislation of the Philippines after 5 April 1975 shall be treated as if they had been contribution periods completed as a self-employed person under the legislation of the United Kingdom.

(3) Subject to the provisions of Article 11(3) of this Convention, for the purpose of calculating an earnings factor for assessing entitlement under the legislation of the United Kingdom to old age pension in accordance with Article 12 of this Convention or survivor’s benefit in accordance with Article 15, a person shall be treated for each week beginning in a relevant tax year commencing on or after 6 April 1975, any part of which week is a contribution period completed as an employed person under the legislation of the Philippines, as having paid a contribution under the legislation of the United Kingdom as an employed earner on earnings equivalent to two-thirds of that year’s upper earnings limit.

(4) For the purpose of converting insurance periods completed under the legislation of the United Kingdom before 6 April 1975, each contribution period or equivalent period completed under that legislation shall be treated as if it had been a contribution period completed under the legislation of the Philippines.

(5) For the purpose of converting to an insurance period any earnings factor achieved in any tax year commencing on or after 6 April 1975 under the legislation of the United Kingdom, the competent authority of the United Kingdom shall divide the earnings factor achieved under its legislation by that year’s lower earnings limit. The result shall be expressed as a whole number, any remaining fraction being ignored. The figure so calculated, subject to a maximum of the number of weeks during which the person was subject to that legislation in that year, shall be treated as representing the number of weeks in the insurance period completed under that legislation.

(6) Where it is not possible to determine accurately the periods of time in which certain insurance periods were completed under the legislation of one Party, such periods shall be treated as if they did not overlap with insurance periods completed under the legislation of the other Party, but they shall be taken into account to the best advantage of the beneficiary.

Section 2 invalidity pension

ARTICLE 10

For the purpose of a claim for invalidity pension under the legislation of the Philippines by a person ordinarily resident in the territory of that Party who would not otherwise be entitled to receive that pension because of his failure to satisfy the contribution conditions applicable to that pension, contribution periods completed by that person as an employed or as a self-employed person under the legislation of the United Kingdom shall be treated in accordance with Article 9 of this Convention as if they were contribution periods completed under the legislation of the Philippines.

Section 3 old age pension and survivor’s benefit

ARTICLE 11

(1) Subject to the provisions of paragraphs (2) and (4) of this Article, where a person is entitled to an old age pension under the legislation of one Party otherwise than by virtue of the provisions of this Convention, that pension shall be payable and the provisions of Article 12 of this Convention shall not apply under that legislation.

(2) For the purpose of this Article, “old age pension” shall not include a Category B retirement pension payable to a married woman under the legislation of the United Kingdom by virtue of the contributions of her husband.

(3) For the purpose of determining entitlement to additional component payable under the legislation of the United Kingdom, no account shall be taken of any contribution period completed under the legislation of the Philippines and for the purpose of this Article and Article 12 of this Convention additional component shall be treated as a separate benefit to which the provisions of Article 12 do not apply.

(4) Entitlement to an old age pension in the circumstances referred to in paragraph (1) of this Article shall not preclude either Party from taking into account in accordance with Article 12(3) of this Convention insurance periods completed under the legislation of the other Party.

ARTICLE 12

(1) The provisions of this Article shall apply for the purpose of determining entitlement to old age pension in respect of a person under the legislation of one Party under which there is no entitlement in respect of that person in accordance with the provisions of Article 11 of this Convention.

(2) In accordance with the provisions of Article 9 of this Convention, the insurance authority of that Party shall determine:

(a) the amount of the theoretical pension which would be payable if all the insurance periods completed by that person under the legislation of both Parties had been completed under its own legislation;

(b) the proportion of such theoretical pension which bears the same relation to the whole as the total of the insurance periods completed by him under the legislation of that Party bears to the total of all the insurance periods which he has completed under the legislation of both Parties.

The proportionate amount thus calculated shall be the rate of pension actually payable to that person by the competent institution.

(3) For the purpose of the calculation in paragraph (2) of this Article:

(a) where all the insurance periods completed by any person under the legislation of the United Kingdom amount to less than one reckonable or, as the case may be, qualifying year, or relate only to periods before 6 April 1975 and in aggregate amount to less than 50 weeks, those periods shall be treated as if they had been completed under the legislation of the Philippines;

(b) where all the insurance periods completed by any person under the legislation of the Philippines amount to less than twelve months, those periods shall be treated as if they had been completed under the legislation of the United Kingdom.

(4) For the purpose of applying the provisions of paragraph (2) of this Article:

(a) the insurance authority of the United Kingdom shall take account only of insurance periods (completed under the legislation of either Party) which would be taken into account for the determination of pensions under the legislation of the United Kingdom if they were completed under that legislation, and shall, where appropriate, take into account in accordance with that legislation insurance periods completed by a spouse;

(b) no account shall be taken of any graduated contributions paid under the legislation of the United Kingdom before 6 April 1975 and the amount of any graduated benefit payable by virtue of such contributions shall be added to the amount of any pension payable in accordance with paragraph (2) of this Article under that legislation:

(c) no account shall be taken under the legislation of the United Kingdom of any increase of benefit payable under that legislation by virtue of deferred retirement, but any such increase of benefit payable under that legislation shall be added to any benefit payable under that legislation which has been calculated under paragraph (2) of this Article;

(d) for the purpose of applying the provisions of paragraph (2) of this Article, “pension” shall not include any increase payable in respect of a dependent child, but any such increase shall be added to any benefit payable by virtue of the calculation under paragraph (2) of this Article, subject to any limitations provided in Article 14 of this Convention;

(e) where a compulsory insurance period completed under the legislation of one Party coincides with a voluntary insurance period completed under the legislation of the other Party, only the compulsory insurance period shall be taken into account, provided that the amount of pension payable under the legislation of the United Kingdom under the provisions of paragraph (2) of this Article shall be increased by the amount by which the pension payable under the legislation of that Party would have been increased if all voluntary contributions paid under that legislation had been taken into account;

(f) where a contribution period other than a voluntary contribution period completed under the legislation of one Party coincides with an equivalent period completed under the legislation of the other Party, only the contribution period shall be taken into account;

(g) no account shall be taken under the legislation of the United Kingdom of any invalidity allowance payable under that legislation and the amount of any invalidity allowance shall be added to the amount of any pension payable in accordance with paragraph (2) of this Article under that legislation.

(5) For the purpose of applying the provisions of paragraphs (1) to (4) of this Article, no account shall be taken under the legislation of the Philippines of any contribution paid or credited under the legislation of the United Kingdom for any contribution year which ended before 1 September 1957.

ARTICLE 13

Where a person does not simultaneously satisfy the conditions for entitlement to an old age pension under the legislation of both Parties, his entitlement under the legislation of one Party shall be established as and when he satisfies the conditions laid down by the legislation of that Party. The provisions of Article 12 of this Convention shall be applied where there is no entitlement under the provisions of Article 11 of this Convention to an old age pension under the legislation of that Party and his entitlement shall be determined afresh under those provisions when the conditions under the legislation of the other Party are satisfied.

ARTICLE 14

(1) The provisions of this Article shall apply to any increase of or supplement to an old age pension under the legislation of either Party in respect of a dependent child or dependent children.

(2) Such increase or supplement shall be payable in accordance with the following provisions:

(a) where the person is entitled to an old age pension only under the legislation of one Party, the increase or supplement shall be payable under the legislation of that Party;

(b) where the person is entitled to an old age pension under the legislation of both Parties, the increase or supplement shall be payable only under the legislation of the Party in whose territory he is ordinarily resident.

ARTICLE 15

(1) The provisions contained in Articles 11 to 14 of this Convention shall apply, with such modifications as the differing nature of the benefits shall require, to survivor’s benefit.

(2) Where survivor’s benefit would be payable under the legislation of one Party if a child were in the territory of that Party, that benefit shall be payable while the child is in the territory of the other Party.

Section 4 benefits for industrial accidents and diseases

ARTICLE 16

Where a person is employed in the territory of one Party and the legislation of the other Party applies to him in accordance with any of the provisions of Articles 5 to 8 of this Convention, he shall be treated under that legislation for the purpose of any claim for benefit in respect of an industrial accident or an industrial disease contracted during that employment, as if the accident had occurred or the disease had been contracted in the territory of the latter Party. Where benefit would be payable in respect of that claim if the person were in the territory of the latter Party, it shall be payable while he is in the territory of the former Party, but while such benefit is so payable, no benefit shall be payable in respect of that accident or disease under the legislation of the Party in whose territory the accident or disease occurred.

Section 5 recovery of advance payments and overpayments of benefit

ARTICLE 17

(1) Where a competent institution of one Party has made a payment of any benefit to a person for any period in advance of the period to which it relates or has paid him any benefit for a period, whether by virtue of the provisions of this Convention, or otherwise, and the insurance authority of the other Party afterwards decides that the person is entitled to benefit for that period under its legislation, the competent institution of the latter Party, at the request of the competent institution of the former Party, shall deduct from the benefit due for that period under its legislation any overpayment which, by virtue of the provisions of this Convention, results from the advance payment of benefit paid by the competent institution of the former Party and shall transmit this sum to the competent institution of the former Party.

(2) Where a person has received supplementary benefit under the legislation of the United Kingdom for a period for which that person subsequently becomes entitled to any benefit under the legislation of the Philippines, the competent institution of the Philippines, at the request of and on behalf of the competent institution of the United Kingdom, shall withhold from the benefit due for that period the amount by which the supplementary benefit paid exceeded what would have been paid had the benefit under the legislation of the Philippines been paid before the amount of supplementary benefit was determined, and shall transfer the amount withheld to the competent institution of the United Kingdom.