QuestionsQuestions (BOC MEMORANDUM CIRCULAR NO. 56-2000)
PD No. 347 further amended Republic Act No. 1161, as amended (the Social Security Law). Its stated purpose was to improve and make the SSS more effective and responsive to the needs of its members.
The Commission is composed of the Secretary of Labor, the SSS Administrator, and six appointive members: two representing the labor group, two the management group, and two the general public. The appointive members are appointed by the President of the Philippines.
The President of the Philippines designates the Chairman of the Commission from among the members of the Commission.
The term of the appointive members is three years. For the first six appointive members, their initial terms are one, two, and three years for every two members, respectively.
All vacancies, except through expiration of the term, are filled only for the unexpired term.
Appointive members receive one hundred pesos per diem for each meeting actually attended, but no compensation is paid for more than eight meetings a month.
It provided a funeral grant of seven hundred fifty pesos upon the death of a retiree to help defray funeral expenses.
The SSS must pay: (A) a basic lump sum amount plus additional amount based on contributions exceeding 120 monthly contributions, (B) a monthly pension to each minor unmarried legitimate child (up to five) under conditions stated, and (C) a funeral grant of seven hundred fifty pesos.
It is plus five-twelfths of one percent (5/12 of 1%) of the basic lump sum amount for each monthly contribution in excess of one hundred twenty.
Eligibility requires that at the time of death, either: (1) the child’s parent (covered employee) has paid eighteen monthly contributions within the thirty-six calendar month period ending on the last day of the second quarter preceding the quarter of death, or (2) the payment ratio is not less than eighty percent.
The SSS pays the beneficiaries or legal heirs the benefit described in Section 13(A) multiplied by one and one-fourth (1.25) and further multiplied by the payment ratio.
The death benefit shall not be less than: (1) the total contributions paid by the employee and employer in the employee’s behalf to the SSS, nor (2) five hundred pesos. Also, a covered employee who dies in the month of coverage is entitled to the minimum benefit.
The employee is entitled to the basic lump sum amount, subject to conditions: either (1) eighteen monthly contributions within the thirty-six calendar month period ending on the last day of the second quarter preceding the quarter of permanent total disability, or (2) a payment ratio not less than eighty percent. If neither is satisfied, the benefit is basic lump sum multiplied by one and one-fourth and further multiplied by the payment ratio.
The amount is a percentage of the sum of (i) the benefit under the permanent total disability rule and (ii) five-twelfths of one percent of the basic lump sum amount for each monthly contribution in excess of 120, with due regard to the degree of disability. The percentage degree is not additive for distinct, separate and unrelated permanent partial disabilities, but it is additive for deteriorating and related permanent partial disabilities up to a maximum of one hundred percent.
It prohibits agents, attorneys, or others in charge of preparing, filing, or pursuing any SSS benefit claim from demanding or charging any fee, and it nullifies stipulations to the contrary. It also prohibits retention or deduction from any benefit for such fees. Violations are punishable by a fine of not less than five hundred pesos nor more than five thousand pesos, or imprisonment of not less than six months and not more than one year, or both.
It penalizes anyone who, for the purpose of causing any payment to be made under the Act (or an agreement thereunder) when a false statement or representation as to compensation is made in any claim for benefits, application for loan, or who makes/causes to document in connection with such claim or loan. The penalty is by reference to Article 172 of the Revised Penal Code.