QuestionsQuestions (Republic Act No. 8282)
RA 8282 is entitled the 'Social Security Act of 1997.' It declares the State policy to establish and maintain a sound, viable, and tax-exempt social security system that promotes social justice and provides meaningful protection against hazards such as disability, sickness, maternity, old age, death, and other contingencies resulting in loss of income. It also endeavors to extend social security protection to workers and their beneficiaries.
The Commission consists of: (1) the Secretary of Labor and Employment (or duly designated undersecretary), (2) the SSS president, and (3) seven (7) appointive members—three (3) representing workers (at least one must be a woman), three (3) representing employers (at least one must be a woman), and one (1) representing the general public (appointed by the President, with adequate knowledge and experience). The Chairman is designated by the President from among its members.
Appointive members serve for three (3) years. The first six (6) appointive members have staggered terms (one (1), two (2), and three (3) years for every two members, respectively). They continue to hold office until their successors are appointed and duly qualified.
Among others: (1) to adopt/amend/rescind rules and regulations subject to Presidential approval; (2) to establish provident funds for members and maintain a provident fund for SSS officials/employees; (3) to approve restructuring proposals for due but unremitted contributions and unpaid loan amortizations; (4) to authorize cooperatives/associations as collecting agents (subject to accreditation and bonding); (5) to compromise or release interest/penalties/civil liabilities connected with authorized investments; and (6) to approve/confirm/review actions of the SSS.
The general conduct of SSS operations and management functions is vested in the SSS President, who serves as the chief executive officer responsible for carrying out the program of the SSS and the policies of the Commission. The SSS President is appointed by the President of the Philippines and receives salary fixed by the Commission with Presidential approval.
Disputes related to coverage, benefits, contributions, penalties, or other matters under RA 8282 are cognizable by the Commission. Cases filed are heard by the Commission (or a member/hearing officer authorized by the Commission) and must be decided within a mandatory period of twenty (20) days after submission of evidence.
A Commission decision becomes final and executory after fifteen (15) days from notification if no appeal is taken. Judicial review is permitted only after remedies before the Commission are exhausted. The Commission decision may be reviewed by the Court of Appeals on law and facts; appeal must be taken within fifteen (15) days from notification. If the decision involves only questions of law, review is by the Supreme Court. No appeal bond is required and the case is heard summarily with precedence rules specified; an appeal does not automatically stay the Commission order unless ordered by the Commission or the appellate courts.
Yes. The Commission may, motu proprio or on motion, issue a writ of execution to enforce any final and executory decision/award. Execution is in the same manner as the decision of the Regional Trial Court, through the city/provincial sheriff (or sheriff appointed). Failure to comply may be punished for contempt upon application.
When authorized by the Commission, SSS officials/employees may administer oaths and affirmations, take depositions, certify official acts, and issue subpoenas/subpoena duces tecum to compel witness attendance and production of books, papers, correspondence, and records necessary for issues under the Act. Contumacy is dealt with in accordance with law.
Employer includes any person (natural or juridical) carrying on business/trade/industry/undertaking in the Philippines using services of another person under his orders, except the Government and its political subdivisions/branches/instrumentalities, including GOCCs. Self-employed persons are treated as both employee and employer. Employee is any person performing services with mental and physical efforts and receiving compensation, with an employer-employee relationship; again, self-employed is treated as both. Exclusions from 'Employment' include purely casual employment not for occupation/business of employer, work on or in connection with an alien vessel outside the Philippines, employment in Philippine Government/instrumentality, certain foreign government/international organization employment (subject to agreements), and other exclusions by Commission regulation.
Dependents include: (1) legal spouse entitled to receive support; (2) unmarried legitimate/legitimated/legally adopted children and illegitimate children who are not gainfully employed and under 21 (or over 21 only if congenitally/permanently incapacitated for self-support); and (3) parent receiving regular support from the member. Beneficiaries are the dependent spouse until remarriage, dependent legitimate children and illegitimate children (illegitimate gets 50% of the share of legitimate); if no legitimate children, illegitimate children get 100%. If there are no such children, parents are secondary beneficiaries; if absent, any other person designated as secondary beneficiary.
Compulsory coverage of the employer takes effect on the first day of the employer’s operation. For the employee, it takes effect on the day of employment. For self-employed persons, compulsory coverage takes effect upon registration with the SSS.
When an employee under compulsory coverage is separated, the employer’s contribution and obligation to pay contributions cease at the end of the month of separation. However, the employee is credited with all contributions paid and is entitled to benefits according to the Act. The employee may continue paying the total contributions to maintain full benefit rights.
No. If the self-employed member realizes no income in any month, he is not required to pay contributions for that month, though he may be allowed to continue paying contributions under the same rules applicable to a separated employee. No retroactive payment is allowed, except as provided under Section 22-A.
A member must have paid at least one hundred twenty (120) monthly contributions prior to the semester of retirement and must meet either: (1) age sixty (60) with separation from employment or cessation of self-employment; or (2) age sixty-five (65) regardless of separation/cessation status. If qualified, he is entitled to a monthly pension for life, with an option to receive the first eighteen (18) monthly pensions in a lump sum discounted at a preferential interest rate.
Upon death of a member who has paid at least thirty-six (36) monthly contributions prior to the semester of death, primary beneficiaries receive the monthly pension. If no primary beneficiaries, secondary beneficiaries receive a lump sum equivalent to thirty-six (36) times the monthly pension. If the member has not paid the required thirty-six (36) contributions, primary or secondary beneficiaries receive a lump sum equal to the monthly pension multiplied by the number of monthly contributions paid, or twelve (12) times the monthly pension, whichever is higher.