MANILA - The proposed increase in Social Security System (SSS) contributions is meant to expand sickness, maternity and funeral benefits to make it at par with the Government Service Insurance System (GSIS), said SSS chair Amado Valdez.
Valdez cited the "structural problem" with the SSS contribution system, which is currently based on 11 percent of P16,000 even for those earning higher. For the GSIS, the contribution is based on 21 percent of P50,000.
"Kung tumatanggap iyong empleyado ng P50,000 sa gobyerno, ang basis, 21 percent of P50,000. Sa SSS, iyong 11 percent ay base lang sa P16,000," Valdez told ABS CBN News
(If the employee receives P50,000 from the government, the basis is 21 percent of P50,000. For SSS, the basis is 11 percent of P16,000).
"So, nagrereklamo ho yung mga tumatanggap ng 20,000 ng 30,000, bakit gusto naman namin na malaki pension naman pagdating ng panahon, bakit hindi niyo binebase yung 11 percent sa buong salary na tinatanggap namin," Valdez added.
(Those who earn P20,000 to P30,000 complain. They want bigger pension in the future, why not base the 11 percent from their actual salary?)
Valdez also reiterated that the proposed increase in contributions is just another option as they are currently looking at developing five premium real properties with potential revenue generation that might contribute billions to SSS funds.
"Kung magtataas kami halimbawa ng additional contribution, ang ipapasok lang noon P14-billion, samantalang kung madevelop natin yung properties na ito, initially madali yung P5-billion to P10-billion, Valdez said.
(If we increase contributions, the expected revenue is P14-billion, compared to the developed properties that could yield P5-billion to P10-billion easily.)
Officials are considering the development of properties including one in Ayala Ave. in Makati and East Ave. in Quezon City.