An elderly man talks to an SSS teller at the Social Security System (SSS) main office in Quezon City. Jonathan Cellona, ABS-CBN News/File

MANILA — A resolution “strongly urging” the deferral of the contribution hike for Social Security System members has been filed at the House of Representatives, citing “wide clamor” from all sectors.

A resolution, if adopted, expresses the sense or sentiment of a chamber like the House of Representatives but cannot compel a deferment of the increase. 

Baguio City Rep. Mark Go filed on Tuesday House Resolution 2157 calling on the policy-making Social Security Commission to consider the deferral this year “to provide low income earners breathing space from the continued rising cost of commodities and services”.

Finance Secretary Ralph Recto is chair of the commission.

“The SSS can afford and manage to suspend the increase in contributions considering that the revenue of SSS grew in 2023 by 15.6% to P353.82 billion from P306.16 billion in the previous year,” Go said.

The SSS provides pensions as well as loans and financial assistance — in case of calamities, for example — to members.

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Go added the alleged inefficiency in collecting SSS premium contributions should first be addressed before the government insurance agency proceeds to implement the schedule of contribution rate hike.

Republic Act No. 11199, which was signed into law by then-President Rodrigo Duterte in 2019, imposes a one-percent increase in the SSS contribution rate every two years until it reaches 15% in 2025.

Employers are to shoulder 10% of the contribution amount and the remaining 5% will be shouldered by the employee.

Wage earners will pay between P700 to P1,750 a month, depending on their salaries. Employers will meanwhile pay between P1,410 to P3,530 per employee, depending on their salaries.

'CRUEL NEW YEAR'S GIFT'

Last week, Gabriela Women’s Party Rep. Arlene Brosas called for a suspension of the SSS contribution hike, tagging it a “cruel New Year’s gift” and “absolutely tone-deaf” considering the high prices of basic commodities.

More lawmakers are supporting this call.

“Sa kabila ng mas mahal na cost of living na dinaranas ng mga kababayan natin sa kasalukuyan, malaking dagok ang dagdag na singil na ito dahil mababawasan pa lalo ang kapasidad nilang sustentuhan ang kanilang mga pamilya,” Rizal 4th District Rep. Fidel Nograles, who is also House Committee on Labor and Employment chair, said in a statement.

(In the face of a high cost of living that our people are facing at the moment, this increase will be a big blow to them because it will make it harder for them to provide for their families)

Nograles also appealed to President Ferdinand Marcos Jr. to have SSS hold off on the increase.  

SSS firm on implementing contribution hike for members despite backlash

“The SSS should address systemic bottlenecks and gaps first to ensure that our collection efforts are maximized,” he added.

“If a deferment won’t lead to a significant dent to the SSS’ funds, perhaps it is more judicious to choose compassion and empathy for our fellow Filipinos instead of implementing the contribution hike right this year,” Nograles said as he proposed a more gradual increase in member contributions.

On Wednesday, Gabriela Women’s Party led a protest action at the SSS Main Office in Quezon City to denounce the contribution hike, which it said “further erodes workers' already insufficient wages”.

Malacañang on Tuesday said it would let the SSS contribution rate hike “continue” to “let it produce results,” noting that the policy was based on actuarial studies.