SSS Warns Delinquent Employers: Settle Contributions or Face Penalties

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Over 1,200 Delinquent Employers Issued Violation Notices for Unsettled Contributions

On Labor Day, the Social Security System (SSS) announced that they have issued violation notices to more than 1,200 delinquent employers, demanding settlement for their outstanding contributions. These violations amount to over P335 million and involve nearly 19,000 workers.

SSS President and CEO, Rolando Ledesma Macasaet, urged Filipino workers to stay vigilant and regularly check for updates on their contribution records. He emphasized the importance of being proactive in monitoring their contributions to ensure they receive the benefits they are entitled to.

Cracking Down on Contribution Evaders

The SSS’s Run After Contribution Evaders (RACE) operations have been instrumental in identifying and addressing delinquent employers. Through these efforts, violation notices have been issued nationwide, compelling employers to settle their delinquencies.

Macasaet highlighted the convenience of the my.SSS portal, which allows members to easily check the status of their contribution records using their smartphones. If any discrepancies or issues are identified, members are encouraged to report them to their local SSS branch office for investigation.

It is crucial for employers to fulfill their contribution obligations, as failure to do so deprives employees of their rightful SSS benefits. Macasaet emphasized that members with non-updated contribution records will not be eligible to claim benefits or apply for loan programs.

The Impact of Non-Updated Contribution Records

To illustrate the significance of maintaining up-to-date contribution records, Macasaet provided an example. Suppose an SSS member is hospitalized for 10 days due to an illness. If their employer has failed to remit their SSS contributions, the member will be disqualified from receiving sickness benefits. Updated contributions are one of the requirements for qualifying for such benefits.

Therefore, it is crucial for both employers and employees to ensure that contributions are regularly remitted and recorded accurately. The monthly contributions made by SSS members serve as the basis for determining their eligibility for various SSS benefits.

Consequences for Delinquent Employers

Macasaet issued a stern warning to delinquent employers, emphasizing that the SSS will not hesitate to file charges against them. Non-remittance of SSS premiums is considered a criminal offense that violates Republic Act No. 11199.

Under this law, employers who fail to register their employees or neglect to deduct and remit their contributions to the SSS can face penalties. These penalties include fines ranging from P5,000 to P20,000 and imprisonment for a period of six years and one day to 12 years.

It is essential for employers to understand the legal obligations they have towards their employees’ contributions and the severe consequences they may face for non-compliance. By fulfilling their responsibilities, employers not only ensure their employees’ access to SSS benefits but also contribute to the overall welfare of the workforce.

Source: The Manila Times

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