|Social Security System in the Philippines|
"The social security system is aimed at providing protection for the SSS member against socially recognized hazard conditions"
Republic Act No. 8282, otherwise known as the Social Security Act of 1997, refers to the social security system in the Philippines that is initiated, developed and promoted by its Government. This social security system is aimed at providing protection for the SSS member against socially recognized hazard conditions, such as sickness, disability, maternity, old age and death, or other such contingencies not stated but resulted in loss of income or results to a financial burden. Towards that goal, the Social Security Act of 1997 also endeavors to extend the social security system not only to the SSS member but also to his/her beneficiaries.
The Social Security Act of 1997 is compulsory to the employee who is under the age of sixty (60) and his/her monthly income exceed the value of one thousand pesos per month (P1,000). Non-employed Filipino citizens, such as spouses who are devoted to full-time duties of managing the household or other family affairs may voluntarily cover themselves for the social security system. Employees who are recruited by foreign-based employers may voluntarily cover themselves for the social security system in Philippines.
The Social Security Act of 1997 is compulsory to the self-employed. Under such rules and regulations determined by the Commission, a self-employed worker has compulsory coverage if he/she is a professional, he/she is in a single (or in a partnership) proprietorship business, is an actor and actress who doesn't necessarily fall within the definition of the term employee (according to Section 8 of the Social Security Act), professional athlete, trainer, coach, or jockey, or a fisherman or a farmer.
The effective start of an SSS member's coverage will take effect on the employee's first day of his/her employment, or for the employer, his/her first day of operation.
The Retirement Benefit is granted when an employee retires from work upon reaching the retirement age established in the collective bargaining agreement or other applicable employment contract.
The Death Benefit is granted in event of the deceased SSS member's beneficiaries, receiving from the System an amount equivalent to the deceased member's monthly income benefit, plus a ten percent (10%) fraction of the death benefit thereof for every listed dependent child, with the list not exceeding five, beginning with the youngest to the oldest. The list may not be substituted nor appended.
The Disability Benefit is granted depending on the severity of the disability claim which is to be determined by the Medical Director of the System and approved by the Employees' Compensation Commission. Articles 191, 192 and 193 of the Philippine Labor Code cover the different degrees of the disability and the benefits accompanying them.
(This article features content derived from the Social Security Act of 1997, Republic Act No. 8282. By no means shall this article be used to substitute Republic Act No. 8282.)