House to review PhilHealth, SSS books

MANILA, Philippines - The House of Representatives is set to look into the books of the Social Security System (SSS) and Philippine Health Insurance Corp. (PhilHealth) after the two government corporations allegedly failed to adequately explain why premiums have to be increased starting this month.

Reps. Karlo Nograles (Davao City), Jerry Treñas (Iloilo), and Luzviminda Ilagan and Emmerenciana de Jesus of Gabriela party-list, in separate statements said there is a need to ensure the financial viability of the SSS and PhilHealth but this should not overly burden their members.

The congressional inquiry was prompted by House Resolution 161 authored by De Jesus and Ilagan, directing the House committee on government enterprises and privatization to conduct an inquiry into the financial management situation of the SSS.

The panel will also come up with recommendations for shoring up the pension fund without disenfranchising members and imposing an additional burden on its beneficiaries.

“The SSS is in no position to shove these increases down workers’ throats. No consultation was conducted among stakeholders. A deeper look into the financial situation of the SSS should be conducted and at the very least, an explanation should be in order,” Ilagan said.

SSS said it will implement the 0.6-point increase in its current 10.4 percent monthly contribution rate, making it 11 percent starting this month.

SSS president and chief executive officer Emilio de Quiros Jr. said the 0.6 percent hike would be divided equally between employees and employers.

Employees will shoulder 3.63 percent, while employers will pay 7.37 percent based on the applicable monthly salary credit.

On the other hand, self-employed and voluntary members will shoulder the entire 11-percent contribution.

“SSS members were given no choice but to comply with automatic deductions even as they contend with inefficiencies in the delivery of benefits and pensions and scandalous holiday bonuses given to SSS executives,” she said.

She also expressed disappointment over Malacañang’s refusal to put a stop to proposed increases in SSS contributions.

“Aquino’s bias against workers is too obvious in this refusal to ease the burden on Filipino workers. This comes amid skyrocketing prices of food, utilities, services and petroleum products,” Ilagan said.

Nograles and Treñas backed the probe, as this is a necessary exercise of congressional oversight powers on issues that concern public interest and national welfare.

Nograles, chairman of the House committee on labor and employment, said while he supports Malacañang’s position that the increase in SSS and PhilHealth premium is necessary to improve the services that they provide, “it’s still equally important for both institutions to answer in detail all questions that are being raised by those who are opposed to their decision.”

“Malacañang’s position on this issue is very understandable. However, this should not stop Congress from going through the details of SSS and PhilHealth’s decision to increase their fees. This is democracy at work,” he said.

He said with recent calamities, “this might not be the right time to increase SSS and PhilHealth premiums.”

He said that while a 0.6 percentage point increase on the monthly contribution of their members might be affordable to some, this amount could already buy several cans of sardines and packs of noodles for some families, particularly those who are only receiving the minimum wage and other members who could barely afford their monthly premiums.

“I’m sure SSS and PhilHealth officials have noble intentions in their decision to increase their monthly premium. But as representatives of the people, we would also like to hear from them more detailed answers on the many questions that are being asked by our constituents. They may be right but they should explain to us why,” Nograles said.

Treñas said the inquiry would be a good venue for SSS and PhilHealth officials to answer all questions that the people have on this issue and clarify the allegedly scandalous paychecks and other perks of the executives of the two agencies.

President Eleazardo Kasilag of the Federation of Association of Private Schools and Administration (FAPSA) said increasing the SSS premiums of private school teachers would mean increasing tuition to cover the extra remittance.

“We appeal to SSS, spare the private schools. We just cannot apply for tuition fee increase because we shall suffer in enrollment as our perennial problem in private schools,” he said.

Kasilag said private schools could not join those companies that will begin paying higher SSS premiums this month for their employees.

“The private schools have a different school calendar unlike the usual January to December annual markings of business corporations,” he said.

“Our calendar starts in June and ends in March, a 10-month school year. In fact, since there are no classes during April and May, most private schools do not remit to SSS during summer and SSS is aware of this,” he said. With Helen Flores