SSS revives campaign vs contribution evaders

MANILA, Philippines — The Social Security System (SSS) has revived its campaign against contribution evaders in the National Capital Region (NCR) as part of efforts to punish delinquent employers.

SSS president and CEO Michael Regino ordered the resumption of the Run After Contribution Evaders (RACE) operations starting April 1.

Covered by the operations were 10 non-compliant employers in Manila City with combined contribution delinquencies estimated to be about P26.26 million composed of P9.12 million past-due contributions and P17.14 million penalties, affecting around 95 SSS members.

“These employers were found to be delinquent in the payment of contributions even prior to the pandemic. As a general rule, we have given them 15 calendar days from the date of the SSS’ visit to settle their obligations,” Regino said.

The campaign in Manila is part of a series of RACE operations nationwide, which aims to exact the continuous compliance of delinquent employers with their statutory obligations under Republic Act 11199 or the Social Security Act of 2018, ensure the social security coverage of members, and enhance SSS’ collection efficiency.

“This time, we are giving non-compliant employers the option to settle their delinquencies through our Pandemic Relief and Restructuring Programs, which provides more amicable and flexible payment terms,” Regino said.

Last November, the SSS launched PRRPs to alleviate the burden of employers and members adversely affected by the pandemic.

Among these programs is the PRRP 2, a social security contribution penalty condonation program for employers, which covers the applicable month of March 2020 and onwards.

Qualified employers were allowed to settle their delinquencies through full payment or installment with the condonation of accrued penalties. This program will run until May 19 this year.

Another is the PRRP 3 or the Enhanced Installment Payment Program that will run until Nov. 22 this year, allowing qualified employers to settle their past-due SS and Employees’ Compensation contributions in installment with payment terms ranging from nine to 60 months, depending on the total amount of delinquency.

“We urge delinquent employers to voluntarily fulfill their obligations under the Social Security Law. They should be our partners in providing meaningful social security protection to our private-sector workers,” Regino said.

Under RA 11199, an employer who fails or refuses to register their employees, deduct contributions from them, and/or fails to remit the same, including the employer’s share to the SSS, will be penalized by a fine of P5,000 to P20,000, and/or be imprisoned for six years and one day to 12 years, at the discretion of the court.