MANILA, Philippines - The Social Security System (SSS) announced a 6-month condonation program that would allow companies to settle unpaid contributions of workers without paying penalties.
SSS president and chief executive officer Romulo Neri said the pension fund approved the condonation program's implementing rules and regulations on February 10.
"Employers can now remit their overdue contributions through our branch teller facilities or SSS-accredited collection agents or submit their installment proposals at their nearest SSS branch," Neri said.
Neri noted that the program will run for only 6 months until July 31, 2010.
President Arroyo signed the Social Security Condonation Law of 2009 last January 7. It offers companies the option to pay their contribution delinquency in cash or installment basis.
The condonation program covers only penalties on unremitted premiums for months before the law took effect last February 1.
"Contributions that fall due for the months of February 2010 onwards must still be remitted to SSS on or before the deadline, which is the 10th day after the applicable month," he said. "The condonation program is no excuse for employers to be delinquent in their current contributions."
The SSS said it would impose penalties for employers who fail to remit their delinquency in full within the condonation period or defaults in their installment proposals. SSS charges a monthly penalty of 3%, as provided under the Social Security Act of 1997.