SSS widens coverage in self-employed, informal sectors

MANILA, Philippines - The Social Security System (SSS), the state-owned pension fund for private employees, has strengthened its campaign to widen its coverage among the self-employed and the “hard-to-reach” informal sector.

The agency signed last week an agreement providing coverage and services to over 25,000 women entrepreneurs of Ahon sa Hirap Inc. (ASHI), a microfinance institution based in Southern Luzon and Visayas.

“Under the agreement with ASHI, SSS will make it easier for self-employed women from poor families to apply for SSS membership, loans and benefits,” SSS president and chief executive officer Emilio de Quiros Jr. said.

“As covered SSS members, women workers from ASHI can save for their retirement and avail themselves of SSS benefits during times of sickness, maternity, disability, old age and death,” he said.

De Quiros and ASHI president Mila Mercado-Bunker signed the memorandum of agreement in Morong, Rizal in the presence of some 1,000 attendees from ASHI’s 21 branches in Rizal, Laguna, Cavite, Antique and Aklan.

ASHI is the fourth accredited SSS servicing partner agent after the Deep Well Sumulong Irrigators Association in Cabanatuan City, Nueva Ecija; Simbag sa Pag-asenso Inc. in Legazpi City, Albay; and CARD Inc. in Bay, Laguna signed similar agreements within the first quarter of 2013.

SSS servicing partner agents are authorized to receive from their members’ applications for SSS transactions such as salary loans and funeral benefits.

“We will continue to pursue more tie-ups with organized groups so that we can bring SSS services within reach of more workers, especially those from the informal sector. We are heartened by the interest showed by various groups across the country to partner with SSS for the social security coverage of their members,” De Quiros said.

The SSS expects to cover 90 percent of the total 27,300 ASHI members, the agency said.

Established in 1991 as a non-stock, non-profit and non-government organization, ASHI is a microfinance organization that provides loans to women from poor families to help them enhance their earning capacity.