RACE to ensure employer compliance

Filipinos are known to be diligent and dedicated workers, always ready to do their assigned tasks, finish it on time or earlier, but always with high quality. The desire to always be good at work stems from the innate love for family among Filipinos, because to do their jobs well is to provide a decent life for their families. Most of the time, they forgo their material wants just to provide for the needs of their loved ones.

Aside from their regular jobs, Filipinos also do other work to earn additional money. They take on extra jobs, sometimes more than two, just to make ends meet. Overworked is an understatement, but for the working men and women, they can endure anything to afford a more comfortable life for their families.

Filipinos also have the talent of being able to save even a small amount of their hard-earned money for future needs—either in the bank, through an insurance or even in a piggy bank or alkansya. One will be amazed at how good Filipinos are in saving money, despite all the expenses they have to pay to provide for the needs of their families.

While these workers are busy providing support and protection to their loved ones, they also need security for themselves, especially in times of contingencies. They need insurance, which they can rely on during sickness, disability or even death.

To provide protection to working class in the private sectors, Republic Act 8282, otherwise known as Social Security Act of 1997, requires that employers mandatorily report their employees within 30 days from start of work and remit SSS contributions monthly.

Under the SS law, employers are required to pay Social Security System contributions monthly and submit SSS Form R3 or Contribution Collection List 10 days after the applicable quarter where the names of employees, SSS numbers and amount of contributions are indicated. The Collection List is required so the SSS could post the correct amount of contribution to each employee. Contributions to SSS vary because the 11-percent contribution rate is applied to the salary bracket of an employee but only at a maximum of P16,000. But, do all employers comply with what is required of them under the law? Sadly, the answer is no. Almost everyday, SSS receives complaints for non-reporting and non-remittance of SSS contributions from former and current employees of companies. They claim that their companies religiously deduct employees’ share from their salaries and yet, not even a single month of contribution is posted in their account. They have been working for the same company for many years and yet, no single payment was made by their employer.

As of September 2017 more than 60,000 employers are considered delinquent based on SSS records. These employers are either guilty of non-reporting of employees for SSS coverage, non-remittance of SSS contributions or both. These omissions committed by the employers are clear violations of the SS law.

To put a stop to these illegal practices, the SSS launched the Run After Contribution Evaders (RACE) campaign, led by the Operations Legal Services Division, early last year. This entails the posting of a show-cause order on establishments which are noncompliant with SS law. Establishments where the show-cause order was posted must reply within a non-extendible period of 15 days from posting, otherwise legal action will be taken against them.

The SSS already conducted several RACE activities last year with the first provincial RACE conducted last week at Robinsons Place in Lipa, Batangas. More of these mapping and coverage activities will be conducted in the regions this year.

But SSS will not stop here.

The SSS will conduct more RACE activities this year to constantly remind employers of their obligation to SSS and until full compliance from them is made. This campaign will stretch throughout the country to track down erring employers and make them liable under the SS law. The SSS will ensure that its members are protected and will enjoy the benefits provided under the law while they are taking care of their families.

However, the SSS is calling all its member-employees to help the pension fund by being vigilant with their SSS accounts. They need to regularly check if their monthly contributions are being remitted by their employers and immediately inform SSS of any anomaly at the first instance that they discover it.

To report non-remittance of contributions and non-reporting to SSS for coverage, employees need to visit the nearest SSS branch and show proof of employment, such as company ID and payslip, among others. Members can also call the SSS hot line at 920-6446 to 55 or e-mail to [email protected].

Together, let us put a stop to all violations under the SS law and start making employers comply with their obligations under the law.




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Turning Points 2018