Probe on 'inefficient' SSS contribution collection sought in Senate

Senator Grace Poe has called for a Senate inquiry on the reported inefficiency of state-led Social Security System (SSS) in collecting contributions from delinquent employers.

Under proposed Senate Resolution 1279, Poe — who chairs the Senate Committee on Finance — cited audit reports that the SSS only collected P2.48 billion or less than 3% of the P94.97 billion target in 2022, and only P4.581 billion or 4.89% of the P93.747 billion collectibles in 2023.

“This leaves at least P89.17 billion that are yet to be collected from 420,627 employers,” the resolution read.

“(A)ny increase in contributions will be rendered ineffective in extending the SSS fund life as projected if the agency’s collection rates continue to remain dismal,” it added.

This comes as the SSS this month raised the contribution rate to 15% from 14% previously and increased the minimum monthly salary credit (MSC) to P5,000 from P4,000 and the maximum MSC to P35,000 from P30,000.

The SSS estimates such increases to result in P51.5 billion in additional collections, with 35% of which, or P18.3 billion, going to the Mandatory Provident Fund (MPF) accounts of SSS members.

SSS president and chief executive officer Robert De Claro previously noted that collections have improved, but the agency still has collectibles from delinquent accounts, with employers hit by the COVID-19 pandemic.

GMA News Online has reached out to De Claro for comment on the proposed inquiry, but no response has been received as of this posting.

The agency also earlier defended the scheduled contribution rate hike, as it said this would be the last tranche of increases, which doubled the fund life to last 28 years until 2053.

Senate Deputy Minority Leader Risa Hontiveros also earlier proposed Senate Resolution 1269 which calls for a deferment of the premium contribution hike, noting that latest survey results show that 63% of Filipinos considered themselves as poor in the last quarter of 2024.

--Jon Viktor D. Cabuenas/ VAL, GMA Integrated News