MANILA – A measure which aims to overhaul the age-old Social Security System’s (SSS) charter has been ratified by members of the Senate and House of Representatives recently.
Republic Act 8282, which empowers the Social Security System Commission to increase benefits, condone penaltie, and rationalize investments, among others, has been submitted to the Palace for President Rodrigo Duterte’s signature.
The measure, which will repeal the 21-year-old Social Security Law, expands the powers of the SSS to ensure the long-term viability of the said system. It also ensures the mandatory SSS coverage for overseas Filipino workers.
Sen. Richard Gordon said that, once signed into law, both land-based and sea-based overseas Filipino workers (OFWs) would be covered, “provided that they are not over 60 years of age.”
“The move may help expand the number of OFWs with SSS coverage from 500,000 OFW members to two-and-a-half million members,” Gordon said. “It also provides unemployment insurance for SSS members who will be displaced involuntarily.”
The measure also seeks to increase the contribution of SSS members by one percentage point every other year starting 2019 until the current rate of 11 percent rises to 15 percent by 2025.
It will also give the SSS Commission the power to determine the salary credit and monthly contributions of members, which would allow it to increase contributions “depending on the actuarial survey.”
“The expanded powers are needed since it would allow the SSS management to increase the salary credit and contribution of employees considering that at present it is only limited to P16,000 which yields very little benefit,” Gordon said.
“The SSS must be given a chance to do what they can for the people because the government could not base its policies on fear but on trusting the people, especially those with tremendous responsibility,” he added./PN
