SSS to review settlement offers from delinquent employers

Mary Grace Padin (The Philippine Star) - October 5, 2017 - 4:00pm

MANILA, Philippines — State-run Social Security System (SSS)  will form a new committee to review and evaluate settlement proposals from employers who have failed to remit their contributions.

SSS president and chief executive officer Emmanuel Dooc ordered the creation of the Employer Delinquency Settlement Review Committee (EDSRC) under Circular 2017-2009 which amends provisions of Circular 2011-002 or the revised guidelines on the installment payment scheme for employers.

Under the circular, the EDSRC is authorized to review all appeals to reconsider settlement proposals earlier denied by the heads of branch offices and large account departments.

The SSS said the amendments introduced in the new circular are in response to the growing number of requests from financially impaired employers for relief on the settlement of their due but unremitted contributions and penalties.

“There shall be created an Employer Delinquency Settlement Review Committee (EDSRC) from the SSS management that shall review all requests for reconsideration of denials made by the heads of the branch office or large account department involving settlement offers or proposals from delinquent employers under existing settlement schemes,” the circular said.

After each review, the EDSRC is allowed to recommend to the president and CEO of the SSS whether to approve or deny the requests.

According to the SSS, the committee will be chaired by the chief legal counsel from its Legal and Enforcement Group.

Other members comprising the committee include the senior vice presidents of the National Capital Region, Visayas, and Mindanao Groups, Account Management Group, Lending and Asset Management Group; vice president of the Operations and Legal Services Divisions I and II; and the Department Manager III of the Commission Legal Department.

However, these members will not be allowed to participate in the EDRSC deliberation in cases concerning delinquent employers in their jurisdiction.

Meanwhile, Circular 2017-009 also introduced other amendments, including the expansion of coverage to include employers with delinquency of at least P100,000 exclusive of penalty, who are currently experiencing financial difficulties to pay contributions due to losses, mismanagement, or natural or human-induced disasters.

It also provides an additional settlement option for delinquent employers, allowing them to pay their pending contributions in full, and settle the corresponding penalties within a year or in installment.

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