Marcos urged to suspend 15% hike in SSS contributions

MANILA, Philippines — Filipinos are set to see an increase in their monthly contribution to the Social Security System (SSS) as the state-run pension fund implements a 15% contribution rate hike starting in January 2025.

This will be the final scheduled increase, according to the Social Security Act of 2018. However, the rate hike can be deferred or rescheduled if President Ferdinand Marcos Jr. chooses to do so.

Civil society groups, former SSS President Rolando Macasaet, and some lawmakers are calling for the suspension of the rate hike.

On January 4, Macasaet urged Malacañang to delay any premium increases, arguing that the SSS' fund life would not be significantly affected.

“The SSS had an income of over P80 billion in 2023 and a banner year of over P100 billion in income for 2024,” he added.

Meanwhile, Senate Minority Leader Aquilino “Koko” Pimentel III said on Monday, January 6, that the “increase in premium contributions does not lead to increases in members’ benefits,” agreeing with calls for immediate suspension. 

“SSS should be fully transparent on the bonuses that they give to their bigwigs. The performance of the board as well as the funds must be audited and assessed, judged by the members themselves,” he said in a statement. 

Former Bayan Muna Rep. Neri Colmenares, who pushed for the increase in SSS pension, also said that the rate hike is “an additional burden” to Filipino workers who have to face price increases in basic goods and services. 

He stressed that the new rates should be suspended, especially when SSS “has not even explained its current collection rate.” 

“It's absolutely unconscionable that SSS implements another premium increase while its pensioners receive a measly P1,200 monthly pension for those with 10 credited years of service, or P2,400 for those with 20 years,” Colmenares said in a statement on Monday.

Labor union group SENTRO described the rate increase to 15% “unjust” and “ill-timed” amid the salaries of Filipino workers that remain stagnant. 

“The government must recognize that workers cannot be made to pay the price for systemic failures. This premium hike will strip families of their hard-earned income at a time when every