Social Security System (SSS) Acting Head for Visayas Central 1 Division Eric A. Coronado (5th from left) explains to employees of a restaurant on how employer violations can affect workers’ eligibility for social security benefits. (Photo courtesy of SSS Cebu)
CEBU CITY, Cebu (PIA) —The Social Security System (SSS) here reported that P40 million in unpaid contributions and corresponding penalties were collected from over 400 delinquent employers in Central Visayas last year.
“This was a result of the Run After Contribution Evaders (RACE) operations in the region,” said Eric A. Coronado, SSS acting head for Visayas Central 1 Division.
In 2024, SSS issued violation notices to 837 erring employers from 20 cities and municipalities in Cebu and Bohol for failing to remit SSS contributions and not registering their businesses with the SSS.
Coronado noted that 54 percent of the business owners who received written notices complied with the stern warning from SSS and started settling their contribution delinquencies.
“Of the 454 employers who complied, 157 employers have completely settled their contribution delinquencies while 156 business owners made partial payments. Moreover, 48 of them opted to avail of the installment payment plan,” Coronado said.
Around 93 employers also registered their respective businesses with the SSS.
“There are 8,629 employees who would benefit from last year’s RACE campaign since the collected past due contributions will be finally posted in our system, thereby making them eligible for SSS benefits and loan privileges,” he explained.
Employers who fail to comply with the written notices from SSS deprive their workers of their right to social security protection, which is punishable by law.
Coronado noted that 330 employer accounts were referred to the Visayas Central Legal Department for legal action because they violated Republic Act No. 11199 or the Social Security Act of 2018.
As of December 2024, the SSS Visayas Central Legal Department has filed 16 complaints against erring employers at the prosecutor’s office, while two cases were elevated to the court.
Sixteen establishments in Central Visayas are still undergoing reassessment as SSS is requesting them to provide the requested records.
At the same time, SSS is also waiting for six employers who have not yet produced the requested records.
“SSS requires the production of records such as payroll, employment contract, and financial statements to determine the actual amount of contributions that these employers need to settle with the SSS,” Coronado explained.
“While the collected unpaid contributions last year were impressive, more work must be done to ensure that every employer in Central Visayas fulfills their obligations under the law,” he said.
Coronado emphasized that SSS will constantly monitor the progress of these delinquent accounts to ensure that all members’ contributions and penalties will be collected. (HFG/PIA 7 with reports from SSS Cebu)
