The chair of the House committee on labor and employment, Rizal 4th District Rep. Fidel Nograles lent his voice to appeals to Pres. Ferdinand Marcos, Jr. to suspend the scheduled contribution rate hike of the Social Security System (SSS) to protect workers from being further burdened with the lessening of their take-home pay.
“Nananawagan tayo kay Pang. Marcos na isuspinde na muna ang rate increase. 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,” Nograles said.
SSS is scheduled to implement its final increase in the monthly contribution of members starting this month in accordance with Republic Act 11199 or the Social Security Act of 2018, which mandates the state-run pension to increase its contribution rate every two years.
Nograles added that the SSS should also be transparent and state what the full effect of a gradual increase is on the pensioner’s fund life.
In 2019, the contribution rate was set at 12 percent. It rose to 13 percent in 2021 and to 14 percent in 2023. For this year’s 15-percent increase, 10 percent would be shouldered by employers, while employees will pay the remaining five percent.
Nograles said that in lieu of the mandated increase, Pres. Marcos could order the SSS to make its collection more efficient and effective first.
“The SSS should address systemic bottlenecks and gaps first to ensure that our collection efforts are maximized,” the lawmaker said.
He added that the SSS should also be transparent and state what the full effect of a gradual increase is on the pensioner’s fund life.
“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. Maybe we can do a gradual increase so that the Filipino worker can cope much better,” Nograles said.
