SSS contributions up as OFWs help raise ante
Contributions of overseas Filipino workers (OFWs) to the Social Security System jumped in 2013 as more migrant workers appreciated the value of being members of the state pension fund.
The SSS said in a statement that contributions from OFWs last year reached an estimated P3.1 billion—up 22 percent year-on-year.
In 2013, more migrant workers decided to register with the SSS and helped raise the pension fund’s aggregate contributions.
There are now about 923,000 OFWs registered with the SSS—up by about 10,000 workers from those of the previous year, it said.
The rise in the number of OFWs registered with the SSS came about after the agency launched a campaign to attract more migrant workers.
As part of the campaign, the agency highlighted the value of SSS coverage and the setting up of representative offices in countries where there are large concentrations of Filipino workers, it explained.
The SSS has several offices across the Middle East, Europe and Asia. It set up new offices in Macau and Bahrain.
Apart from the pension fund’s regular program, the SSS also has what it calls a “Flexi-fund,” which is being offered to workers abroad.
Under the program, OFW members who put in the maximum amount of monthly contributions are allowed to save money on top of their monthly contributions. The pooled savings are then invested by the SSS in portfolio assets on behalf of the members.
“OFWs often fall outside of social protection schemes in their place of employment, a situation that may leave them and their families vulnerable during times of sickness, maternity, disability, retirement and death. [These] contingencies are all covered by our Social Security program,” SSS senior vice president Judy Frances See said in the statement.
The SSS expects the number of OFW members to increase further this year as it continues to attract more migrant workers.
The SSS has about 30 million members.
Last month, the SSS implemented an 11-percent hike in monthly contributions. With the increase, monthly contributions now range from P550 to P1,760 depending on the salaries of members.
As a result of the increase the actuarial life of the SSS fund is now is estimated to last until 2042, from an earlier estimate of 2039.
