THE Social Security System (SSS) opposed proposals to suspend any increases in its members’ contributions, adding this will “jeopardize” its ability to provide benefits.
“The SSS respectfully expresses its opposition to the proposals because of its expected financial impact on the financial health of the SSS,” according to SSS President Aurora C. Ignacio, speaking at a House hearing Thursday discussing a bill allowing the suspension of scheduled increases in SSS contributions.
Ms. Ignacio also added that deferring the hike will affect the fund’s ability to provide for pensioners, members, and their beneficiaries.
Ms. Ignacio added that the proposals “tend to weaken rather than strengthen the SSS especially during these difficult times.”
The Social Security Act of 2018 called for contribution increases in 2019, 2021, 2023, and 2025.
On Thursday, the House Committee on Government Enterprises and Privatization approved House Bill (HB) No. 8317 which allows the President to suspend increases in contributions by SSS members. The measure was filed by House Speaker Lord Allan Jay Q. Velasco.
The Committee’s chairman, Parañaque City Representative Eric Olivarez, said a committee report on the approval of HB 8317 will be submitted Monday. — Gillian M. Cortez