SSS warns delinquent employers: Pay pension or face charges
MANILA, Philippines - The Social Security System (SSS) is further stepping up efforts to go after delinquent employers who have not been remitting contributions of their employees.
In a recent statement, an official of the state-owned pension fund for private employees noted that they will be more vigilant in filing cases against companies that put at risk their employees' pension benefits.
SSS President and Chief Executive Officer Emilio de Quiros, Jr. said that there are at least 9 out of every 10 employers sued by the agency that did not remit contributions of employees to the pension fund.
He cited the 66% increase in the cases filed against delinquent employers--from 740 cases filed in 2010 to 1,227 in 2011.
The total contributions of these employers in 2011 alone reached P460.52 million, which include penalties of over P217 million.
"SSS also collected more than P360 million in overdue contributions last year from delinquent employers through legal action. We will continue to step up our filing of cases this year to send a strong message to employers that they must obey the law," De Quiros said.
Aside from failing to remit employee contributions, Quiros said some companies fail to register their workers for SSS coverage while some refuse to show company records to the pension fund’s account officers.
Employers who failed to remit employees contributions or register their workers for SSS coverage face penalties and imprisonment of 6 to 12 years for violations of the SSS charter.
Employers are mandated by law to register their new workers for SSS coverage within 30 days from start of employment. - Rappler.com