SSS issues clarification

We wish to clarify issues raised by Mr. Ernst Maceda in his column “Reality Check” published in the Philippine Star last Saturday, January 7.

The new SS Commission headed by Chairman Dean Amado Valdez recognizes the gaps in the System’s operations and has, in fact, laid out strategic directions for management to resolve these issues.

However, Mr. Maceda should have looked first at the financial statements of SSS since 2010 to see how its total assets increased by 62 percent from P298 in 2010 to P483 as of July 2016. The life of the pension fund is at 2042 from 2039 six years ago.

This increase in revenues was a product of sound investment decisions, prudent management of expenses, and improved collections.

Unlike GSIS which collects 21 percent contribution based on actual salary of government workers, SSS collects only 11 percent contribution based on a maximum income of P16,000.

This disparity in contribution rates and monthly salary credit is a structural flaw in the SS Law that the current SS policy makers are pushing for amendment. Similarly, amendments on investment ceilings in the 1997 SS Law should also be revisited to allow SSS to diversify its investments.

Pension, after all, is a product of long-term saving during a worker’s productive years.

There is also no truth to claims that SSS officials receive fat bonuses. The Governance Commission for GOCCs (GCG) oversees the performance of SSS, GSIS and other governmentowned controlled corporations and grants approval of performance-based bonus based on accomplishments validated through an annual performance scorecard.

The SSS financial statements and performance scorecards could be easily checked in the SSS website under the Transparency seal icon.

We hope this letter finds space in your newspaper to allow our members access to accurate information. – MARISSU G.

BUGANTE, VP for Public Affairs and Special Events, SSS