CAGAYAN DE ORO CITY (PIA) -- The Social Security System (SSS) continues to intensify its efforts to collect from employers in Misamis Oriental that failed to comply with their contributions in the first quarter of 2024.

During "Run After Contribution Evaders (RACE)" operations on April 30 and May 2, SSS representatives served show-cause orders to delinquent employers, granting them 15 days to settle their outstanding contributions.

The RACE program is a nationwide initiative to remind employers of their legal obligations to SSS under Republic Act No. 11199, or the Social Security Act of 2018.

Valentine Q. Viajar-Aunzo, SSS CDO-Lapasan branch head, said they have been doing this RACE activity since 2017, but the frequency has changed from quarterly to monthly this year.

A total of P5.3 million in SSS contributions remain unpaid by employers in Misamis Oriental as of the first quarter of 2024. These delinquencies come from a range of industries, including coffee shops, pharmacies, car rentals, car washes, machine shops, and manpower agencies.

“Almost four months bago kami nabayaran (ng client). Kaming maliliit (na business), kami ang affected. Kasi imagine-nin mo ang working capital namin napakaliit base naman sa requirement ng batas, P5 million ang working capital. Our people is only less than 200. But the problem is kung three months, four months ka ng hindi mabayaran, ay patay,” one of the employers explained.

[It took us almost four months before we got paid (by the client). We, small (businesses), are the ones affected. As you can imagine, our working capital is very small based on the requirement in the law; it is P5 million. Our staff is limited to less than 200. But the problem is, if you don't get paid for three months or four months, you're dead.]

The SSS acknowledges the challenges faced by some businesses and offers flexible payment options through programs like the Contribution Penalty Condonation, Delinquency Management, and Restructuring Program (CPCoDeMRP) for single proprietorships, corporations, cooperatives, and associations.

Viajar-Aunzo stated that while they are required by law to ensure compliance, they are aware of the challenges some employers are facing, particularly in the wake of the pandemic.

The SSS Misamis Oriental remains confident that the RACE activities will encourage timely contribution payments and safeguard employee benefits. (MGAB/PIA-10)