BLEEDING DRY? The Social Security System (SSS) sees huge losses if the rate hike is tabled. FILE PHOTO
MANILA, Philippines — Senate Minority Leader Aquilino “Koko” Pimentel III on Monday backed calls to suspend the scheduled increase in the monthly contributions of Social Security System (SSS) members.
“I agree with them. The increase in SSS premium contribution does not lead to increases in members benefits,” Pimentel said in a message to reporters.
Instead of imposing another hike in SSS contributions, Pimentel urged the state-run pension fund to be “fully transparent on the bonuses that they give to their bigwigs.”
ALSO READ:
Ex-SSS chief to Palace: Suspend premium contribution hike
SSS rate in 2025: Private sector workers to see higher deductions
Suspend SSS contribution hike – labor rights advocate
“The performance of the board as well as the funds must be audited and assessed, judged by the members themselves. Hence, the SSS should be fully transparent with their members,” the senator added.
SSS will collect more from its members— from the current 14 percent contribution rate to 15 percent this year.
The gradual increase was provided for under Republic Act No. 11199, signed by then-President Rodrigo Duterte in 2018.
SSS members have started paying higher contributions in 2019 with 12 percent rate, which increased to 13 percent in 2020 and to 14 percent in 2023.
The last scheduled increase, however, was met by strong opposition from various sectors.
SSS, for its part, defended the contribution hikes, saying it was designed to strengthen the pension fund and “enable it to give better benefits and long-term financial security to all its members.”