The Social Security System (SSS) kicked off its first Run After Contribution Evaders (RACE) activity in Mandaluyong City on March 3, 2023 by issuing notices to 12 employers for not remitting the contributions of their employees to SSS.
These employers incurred more than P57 million worth of unpaid contributions and penalties, computed as of February 28, 2023, affecting the SSS benefits of 451 employees.
SSS President and Chief Executive Officer Rolando Ledesma Macasaet said that owners of these establishments who received the show cause orders are given 15 days to coordinate with SSS New Panaderos Branch and explain why SSS should not take any legal action against them.
“The RACE activity in Mandaluyong City is part of our nationwide campaign to ensure the social security coverage of members and enhance SSS’ collection efficiency,” Macasaet added.
Likewise, during the press briefing, SSS Executive Vice President for Branch Operations Sector Voltaire Agas reminded employers of their legal obligation under Republic Act No. 11199 or the Social Security Act of 2018 to report their employees to SSS and remit the corresponding monthly contributions of their workers.
“We appeal to these employers to religiously remit the monthly SSS contributions of their employees. If they neglect their duties, their employees will not qualify for the benefits they are entitled to claim because of insufficient contributions or their contribution records are not updated,” Agas added.
Under the SS Law, employers who failed to register their employees or have not deducted and remitted their employees’ contributions will be penalized with a fine of P5,000 to P20,000 and face imprisonment ranging from six years and one day to 12 years.
Currently, SSS offers the Contribution Penalty Condonation, Delinquency Management and Restructuring Program (CPCoDe MRP) for business employers and the Contribution Penalty Condonation and Restructuring Program (CPCR-P) for household employers to help them settle their delinquencies in paying the contributions of their employees and household helpers or kasambahay.
Under these programs, delinquent employers can pay the unremitted contributions of their employees and kasambahay, less the accrued penalties, through a one-time payment or installment term.
“We encourage our employers to take this opportunity to settle their delinquencies and avoid the lengthy judicial processes for them to gain back their good standing with us,” Macasaet concluded.
