Colmenares denounces new SSS law as burden to members

Senatorial candidate Neri Colmenares on Monday denounced the signing of the Social Security System Rationalization Act, claiming it would only add more burden on SSS members and indulge the pension fund’s executives who are inefficient.

In an interview with a radio station in Cebu, Colmenares claimed “lazy” SSS executives have long been pushing for the signing of the measure so they could be lax in collecting contributions and in running after employers who do not remit employees’ premiums.

Citing 2017 data from the Commission on Audit, Colmenares said SSS has about P13 billion of uncollected premiums and penalties from 122,658 delinquent employers.

At the same time, the pension fund for private sector employees has uncollected loans from non-existing or unlisted companies amounting to P823 million, he added, noting a total amount of P14.5 billion.

“But instead of going into high gear and stretch their muscles to get these collectibles, they instead push for a law that would increase SSS premium by 12 percent and hike it further up to 15 percent by 2025,” according to the senatorial aspirant.

“What is worse is that they are using the P1,000 pension increase as the reason for the premium hike,” Colmenares noted.

Under the SSS Rationalization Act, the SSS Commission is allowed to determine the salary credit and monthly contributions of members, which would now enable them commission higher contributions based on actuarial survey. 

It also provides for mandatory SSS coverage for overseas Filipino workers, as long as they are not over 60 years old, and the power of the SSS Commission to increase benefits, condone penalties, and rationalize investments.

“Increasing the SSS and social pensions is needed as a matter of justice and good social policy, while increasing the SSS contribution is not. Pag mataas ang pension ng  senior citizens at retirees, mas maayos ang lagay nila at hindi sila pabigat sa kanilang mga pamilya,” Colmenares said.

"Hindi dapat isangkalan ito ng tamad sa SSS board para itaas ang premium,” he added. —Erwin Colcol/VDS, GMA News