SSS starts crackdown on delinquent employers

MANILA, Philippines - The Social Security System (SSS) has begun to crack down on delinquent employers, starting off with the arrest of the owners of a publishing firm who failed to remit their employees’ contributions.

SSS said this is part of its intensified campaign with the Philippine National Police (PNP) to zero in on delinquent employers who violated the Social Security Act of 1997, and to be able to collect contributions more efficiently.

“Together with the PNP, we served warrants of arrest last week against two erring employers due to a final and executory judgment and findings of probable cause,” Social Security Commission (SSC) chairman Amado Valdez said in a statement.

“This is to warn all employers that no one is above the law and SSS will no longer tolerate blatant disregard for social security protection of its member-workers,” he added.

Last week, the Makati Regional Trial Court convicted Victor Caluag, Conchita Caluag and Ma. Antonietta Henson, members of the board of directors of Silver Stream Publishing Corp., for non-remittance of SSS contributions.

The Caluags were arrested at their residence in Makati City after being issued bench warrants for jumping bail and failing to attend hearings.

However, the SSS said Henson remains at large and the case against another accused, Realiza Henson, was sent to the archives as she has not been arraigned yet.

Victor and Conchita Caluag would serve a minimum of six years and one day to eight years in prison, and were ordered to pay P1.61 million to the SSS for unpaid contributions and penalties as of Dec. 15, 2011.

The SSS said warrants of arrest were also supposed to be issued against Dominador Lim, Florencio Lim, Rufino Tan, Manuel Lopez and Jose Fernandez Jr., the owners of Paladin Protective and Security Services Inc. on the same day for non-remittance of loan repayments to the SSS.

However, they were no longer residing in their last known address in Makati City.
Valdez earlier announced that the SSS will start adopting “Operation Tokhang” against delinquent employers as part of its contribution collection measures.

Under this mechanism, the SSS will issue a show cause order to violating employers to give them a chance to comply with the law. Otherwise, legal action will be taken against them.

“The warrants of arrest against the Caluags and Lim is only the beginning of our crackdown against erring employers. We will not stop until employers learn the value of registering and reporting their employees and paying their monthly contributions with SSS, otherwise face civil and criminal charges for violation of the SS Law,” Valdez said.

He said a list of the top delinquent employers would soon be released to the media.

From 2010 to June 2016, the SSS said it has initiated legal actions against 34,000 delinquent employers. Of this, 41 employers were convicted, with a corresponding collectible delinquency of P61.66 million.