The Social Security System filed criminal charges against more than 600 companies in the first half of 2012 for violations such as failure to register workers for SSS coverage, refusal to cooperate with SSS account officers, and non-remittance of contributions, a press release from SSS said.

Atty. Santiago Agdeppa, assistant vice president for Operations Legal Department said 494 out of the 606 employers charged were for failure to remit monthly premiums amounting to P209.34 million, with penalties of more than P118 million.

Agdeppa said they continue to intensify legal measures to compel employers to fulfill their responsibilities under the law. As a result, the number of companies sued by SSS grew by 17 percent as compared with the 518 companies charged in the first half of 2011.

Under the Social Security Act of 1997, delinquent employers face six to 12 years in prison and a maximum fine of P20,000.

They are also charged with a stiff monthly penalty of three percent on overdue contributions of employees, the press release said.

Agdeppa said the state-run agency collected P155.63 million from January to June 2012 from employers that settled their delinquencies after the SSS initiated legal actions against them such as issuance of demand letters and filing of cases.

He said non-remittance of contributions is the most common violation of employers, accounting for four out of every five cases filed by SSS. They also sued 109 firms for failure to register their workers for SSS coverage and refusal to present company records to SSS authorities, he added.

Agdeppa said that to safeguard against unscrupulous employers, they encourage employees to monitor the remittance of their SSS payments by registering at their website at www.sss.gov.ph,"They can file complaints against delinquent employers at the nearest SSS branch. They may remain anonymous in filing their complaints, but what is important is that they inform SSS so it can immediately start investigating, he also said.*

back to top