Senate President Pro Tempore Franklin Drilon rejected on Tuesday the government’s plan to increase the rate of the monthly contribution of Social Security System of members.
Drilon was referring to the 1.5 percent increase that the SSS plans to impose on the monthly premium of its members starting May this year to finance the additional P1,000 pension hike for its retirees this January.
Drilon said it was against the law.
‘While the executive’s decision to grant the long-awaited increase in the pension of SSS retirees is commendable, but it should not be used to justify an increase in the premium payment,’ he said in a statement.
The senator pointed out that under Section 4 of Republic Act No. 8282, SSS is prohibited to recommend increase in benefits that would require an increase in contribution.
This came after SSS chairman Amado Valdez said that starting May, there would be a corresponding increase of 1.5% in monthly premiums to counter the P1,000 pension hike approved by President Rodrigo Duterte.
There are more than 30 million SSS members while there are at least 2 millions pensioners.