SSS: ‘Proposed increase in pension would deplete retirement fund’

 

TAGBILARAN CITY, Bohol (PIA) -- Unless the Social Security System (SSS) can find more sustainable sources of income, increasing the retirement pension benefits of its members would be a tough decision. 

This was the statement issued by SSS President and Chief Executive Officer Rolando Ledesma Macasaet, who met with labor and management representatives and voluntary members during the Stakeholders’ Forum in Panglao, Bohol. 

During the forum, Macasaet clarified the agency’s position on the proposed P1,000 to P2,000 increase for retired SSS members. 

He said there are roughly 3.5 million pensioners receiving SSS benefits. 

For the proposed P1,000 pension increase, the agency would need around P3.5 billion monthly, or P7 billion for the P2,000 proposed increase. 

“Multiply that amount to 12 for the 12 months and the SSS retirement fund would bleed P42 billion or P84 billion a month,” Macasaet said.  

The 2021 report of revenues and expenditures of SSS showed that its members' contributions for the year were P226,122.98 billion. 

Its benefits payment for the entire year also reached P223,981.99 billion, leaving the agency with a savings of P2.14 billion.  

Macasaet said that the savings in the agency’s revenues for 2023 would barely be enough to cover the increased benefits in a month. 

“This is not an easy decision,” Macasaet admitted. 

“An organization without a clear source of income could not sustain. We are here to preserve the institution and fund life for the pensioners to receive what rightfully belongs to them and their generations,” he said.  

Macasaet also assured that SSS is not planning to increase member contributions in 2024. 

The SSS conducted the Stakeholders’ Forum in Bohol to listen to members’ concerns and clarify issues in order for the agency to deliver better services.  (PIA Bohol)