Sen. Bong Go backs proposed suspension of SSS contribution hike

MANILA, Philippines – Senator Christopher “Bong” Go has expressed support for the proposed suspension of the scheduled Social Security System (SSS) contribution increase for 2025.

Go cited the pressing need to alleviate the financial burden on workers and small businesses amid persistently high inflation rates.

The increase, which would raise contributions to 15% of employees’ salaries, is mandated under the Republic Act (RA) 11199, or the Social Security Act of 2018.

“I urge the government’s finance managers to thoroughly assess and consider this proposal to unburden the poor while not compromising the benefits they can expect from SSS,” Go said.

“Kung ako tatanungin, pabor ako na pansamantalang huwag munang ipatupad ang pagtaas sa SSS contribution ngayong taon na inaasahang magiging 15% base sa suweldo ng mga manggagawa sa pribadong sektor,” Go added. 

He emphasized the challenges faced by Filipinos due to increased prices of goods and services, which have yet to stabilize the government’s ideal inflation target.

“Nananatiling mataas pa rin ang presyo ng mga pangunahing bilihin at serbisyo, at hindi naman natin inaasahang bababa agad ito sa ideal inflation target ng gobyerno sa mga susunod na buwan,” he noted.

“Ito ay upang mabigyan ng palugit, lalo na ang mga mahihirap at mga negosyong maliliit, at huwag na munang madagdagan ang kanilang pasanin sa buhay bilang pagmamalasakit sa kanila,” he further stressed. 

Go underscored the impact of the contribution incfease on minimum wage earners and impoverished workers, pointing out how even a slight reduction in their net take-home pay could mean less money for essential needs.

“Para sa mga mahihirap nating manggagawa, ang bawat pisong binabawas sa kanilang net take-home pay ay pwede pa sanang pandagdag pambili ng kanilang pagkain. Para sa akin, mas mahalaga ang laman ng sikmura ng mga Pilipino dahil ayaw nating merong mga kababayan nating natutulog sa gabi na gutom,” he stressed.

The senator also appealed to the SSS Board to evaluate the feasibility of suspending the scheduled contribution hike without compromising the fund’s longevity. 

“I, therefore, urge the SSS Board to study further the possibility of temporarily suspending the scheduled increase this year for as long as this will not jeopardize the fund life of SSS. Let us unburden our people, particularly the poor,” Go said.

“Kaya dapat na masiguro din natin na healthy ang status ng SSS funds in the long run kasi kung magre-retire na naman ang mga nasa pribadong sektor, kailangang sapat din ang kanilang matatanggap na pension pagdating ng panahon. Kaya maingat lang nating balansehin,” he added.

The proposed increase in SSS premiums is part of RA 11199, which mandates regular contribution rate hikes every two years to enhance the financial stability of the pension fund.

The rate was initially set at 12% in 2019, increasing to 13% in 2021 and 14% in 2023. For 2025, contributions are set to reach 15%, with employers covering 10% and employees contributing the remaining 5%.

Former SSS chief Rolando Macasaet expressed support for the suspension of the rate hike, highlighting its potential to alleviate the concerns of members.

He explained that temporarily halting or gradually implementing the Social Security Act of 2018 would not overly burden hardworking SSS members or significantly affect the fund’s longevity.

Macasaet pointed out the agency’s strong financial performance, including an income of over P100 billion in 2024, as a basis for this assessment.

He also noted that the Palace could recommend a suspension of premium hikes to the SSS Board.

“Mas mahalaga sa akin ang kapakanan ng ating mga manggagawa at maliliit na negosyo. Hindi natin dapat dagdagan ang kanilang mga pasanin sa panahong ito. Let us prioritize the well-being and immediate needs of our people,” Go concluded.