The group Partido Manggagawa (PM) called
for a stop to the proposed hike in SSS contributions amidst the scandal
surrounding the dealings of three of its officials. Three top executives of the
SSS have been accused by a commissioner of conflict of interest and profiting
from illegal transactions.
“The SSS must first clean its house and
implement internal reforms before any additional burden is imposed on more than
32 million workers who are its members and beneficiaries. The planned 1.5%
yearly increase in contributions starting next year up to year 2020 will
significant cut into workers’ take home pay,” stated Rene Magtubo, PM national
chair.
He added that “As an alternative to hike
in contributions, we suggest cutting perks and privileges of SSS officials and increasing
the fund coverage by running after employers who do not remit contributions.
All these must form part of internal reforms that should include firewalls
against corruption and illegal transactions.”
The SSS has announced that it is
proposing hike in contributions from 11% to 12.5% starting next year and for
the succeeding years. By 2020, the contribution will rise to 17% of workers’
monthly pay.
“The conflict of interest and illegal
transactons of the three SSS executives is probably just the tip of the icebarg
as far as immoral profiting from the workers’ fund is concerned. Back in 2013,
performance bonuses of more than a million each for SSS commisioners and top
officials generated much outrage,” Magtubo explained.
He furthered that “Also there are
numerous abusive employers who do not remit contributions withheld from the wages
of their employees. In our work assisting workers, non-remittance of social
security contributions is a frequent complaint. Not enough enforcement is being
done by the SSS on this grave issue.”
November 1, 2017
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