Addressing Non-Remittance of SSS Contributions by Employers in the Philippines

Simplified Query: What should an employee do if their employer deducts SSS contributions but fails to remit them to the Social Security System in the Philippines?

In the Philippines, the Social Security System (SSS) plays a critical role in providing social security protection to employees. According to the Social Security Act of 2018, employers are obligated not only to deduct SSS contributions from their employees’ salaries but also to remit these contributions to the SSS promptly. Non-compliance with these obligations is unlawful and subjects the employer to potential administrative, civil, and criminal penalties.

When an employer deducts contributions from an employee's salary but fails to remit them to the SSS, the employee has several courses of action:

1. Report to SSS: Employees should file a formal complaint with the nearest SSS branch. The complaint should detail the non-remittance of contributions. Employees are encouraged to provide any evidence of the deductions such as pay slips or payroll records, which clearly show the deductions made for SSS contributions.

2. Use of SSS Online Platform: The SSS website and mobile application can be utilized to verify whether contributions are being remitted. This allows employees to monitor their individual contributions and report discrepancies directly through the platform.

3. Legal Action: If the employer fails to address the issue following internal reports and the SSS intervention, the employee may seek legal counsel to pursue further actions, which can include suing the employer for non-compliance. Legal advice can provide guidance on the procedures and the documentation required.

4. Department of Labor and Employment (DOLE): As a further step, employees can contact DOLE, which oversees labor practices in the Philippines. DOLE can conduct an investigation and enforce labor laws, ensuring that the rights of the employees are protected.

It is important for employees to keep detailed records of their employment, including payroll records, as these documents serve as essential evidence in cases of disputes over SSS contributions. Transparency between employers and employees regarding SSS contributions not only fosters trust but also ensures financial protection for employees during times of need such as sickness, maternity, disability, old age, or death.

Employees facing such issues should act promptly to safeguard their rights and benefits under the Philippine Social Security System. By following these steps, employees can ensure that their contributions are properly handled and their benefits secured.