BAGUIO CITY — Lone District of Baguio City Representative Mark Go has filed House Resolution (HR) 2157 urging the Social Security Commission to defer the scheduled hike in Social Security System (SSS) contribution rates, citing the economic burden on Filipinos amid rising inflation.
The resolution, filed on January 7, calls for the suspension of the increase in the contribution rate to 15%, which is set to take effect despite inflation climbing to 2.9% in December from 2.5% in November, according to the Philippine Statistics Authority.
In an official press release, Rep. Go highlighted “wide clamor from all sectors” for the deferral, stressing that low-income earners need “breathing space” from the continued rise in the cost of goods and services.
He emphasized that the SSS, as a government insurance agency, is in a financial position to postpone the hike, citing a revenue growth of 15.6% in 2023, from PHP 306.16 billion in 2022 to PHP 353.82 billion.
The SSS also posted a net income of PHP 83.13 billion in 2023, significantly exceeding its target of PHP 51.06 billion for the year.
Go further pointed to inefficiencies in the collection of contributions from delinquent employers, as revealed in a 2023 Commission on Audit (COA) report.
The report showed that only PHP 4.581 billion of the expected PHP 93.747 billion in contributions was collected, leaving PHP 89.17 billion in uncollected premiums from 420,627 employers.
Go argued that addressing these inefficiencies should take precedence over implementing a contribution rate hike.
In addition to HR 2157, Rep. Go has also been active in pushing for reforms benefitting vulnerable sectors.
He authored HR 253, which led to the issuance of Department of Health Administrative Order 0017-2024, removing the mandatory purchase slip booklet requirement for senior citizens to avail of the 20% discount on medicines.
The order was adopted by the House of Representatives on September 25 and took effect on December 23.
The Social Security Commission has yet to respond to the resolution.
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