The Social Security System (SSS) announced that its disbursements for overseas Filipino worker (OFW) benefit for 2018 reach P5.65 billion.
- SSS disbursement for OFWs benefit for 2018 reach P5.56 billion.
- More than 63,000 OFW pensioners and members enjoy the said benefits.
- The implementation of compulsory coverage of OFWs will be push through.
- SSS to open more offices to assist OFWs
According to an article published in Manila Times, more than 63,000 OFW pensioners and members of SSS had benefited the said amount which is 89 percent of the 6.37 billion worth of contributions collected from OFWs last year.
In line with this, the SSS is committed to giving the OFWs the higher-social-security benefits especially during their retirements. According to SSS President and Chief Executive Officer Aurora Ignacio, this is also the reason why the fund is pushing for the implementation of compulsory coverage of OFWs base on the Republic Act 11199 or the Social Security Act of 2018.
According to Ignacio, SSS would exhaust all the ways to come out with guidelines on this coverage. Part of this is a discussion with the Department of Labor and Employment (DOLE), Philippine Overseas Employment Administration (POEA) and Department of Foreign Affairs (DFA) to come up with implementing guidelines to ensure compulsory OFW coverage to the SSS.
Aside from government agencies, Ignacio stated that they will also hold a consultation dialogue with leaders from land-based and sea-based OFW sectors for the best implementation of the provisions of the law.
What is the SSS Proposal?
At least a minimum of P960 monthly contribution for all land-based OFWs. This is equivalent to 12 percent of the new minimum monthly salary credit (MSC) for OFWs of P8,000.
An OFW-member will get 61 times in return from his or her contribution or P58,400 in total lump-sum benefits for disability, death or retirement, plus funeral grant even if he or she paid only one month of contribution at the new minimum MSC. If they opt to pay at the highest MSC of P20,000 or a P2,400 monthly contribution, the benefit amount would be P116,000.
Sickness benefit will also increase under the new minimum MSC. From the previous P150/day, it will increase by 60 percent to P240/day. Maternity benefit will also increase from P10,000-P13,000 to P28,000 under the Expanded Maternity Leave Law, which took effect on March 11.
For retirement benefit, those with 120 qualifying monthly contributions at P8,000 MSC will have a basic monthly pension amounting to P3,200. If they are paying based on the P20,000 MSC, the pension benefit will be P8,000 per month.
In line with the implementation of RA 11199, the SSS is planning to open two OFW member assistance office this year. The fund’s target is to open offices in Tel Aviv, Israel and in New York City. Currently, SSS has 26 foreign representative offices in 18 countries for OFW member assistance services located in the Philippine embassies.