Philippine Sss Compulsory Coverage For Private And Public Sectors

With the implementation of the SS Law, the Philippine government also adopted the social insurance approach to social security, covering the employed segment of the labor force in the private sector.

In 1993, household helpers earning at least 1,000ph a month were included in the compulsory coverage of employees. In 1980, some groups of self-employed persons were also required to contribute to the social security fund from which benefits are paid upon the occurrence of a contingency provided by the law. Self-employed farmers and fisher-folks were included in the program in 1992 while workers in the informal sector earning at least

1,000ph a month, such as ambulant vendors and watch-your-car-boys were covered in 1995.

The Social Security System (SSS) administers social security protection to workers in the private sector. On the other hand, the Government Service Insurance System (GSIS) takes care of workers in the public sector. The SSS administers two programs, namely:

  • The Social Security Program
  • The Employee’s Compensation (EC) Program

Social security provides replacement income for workers in times of death, disability, sickness, maternity and old-age. On May 1, 1997, former President Fidel V. Ramos signed Republic Act 8282, further strengthening the SSS. Also known as the Social Security Act of 1997, it amended RA 1161, providing for better benefit packages, expansion of coverage, flexibility in investments, stiffer penalties for violators of the law, con-donation of penalties of


delinquent employers and the establishment of a voluntary provident fund for members.

The employee’s compensation program, started in 1975, provides double compensation to the worker when the illness, death or accident occur during work-related activities. EC benefits are granted only to members with employers other than themselves.

Social Security System used to administer the Medicare program for hospitalization and other medical needs of the private sector workers; and the Government Service Insurance System (GSIS), for the public sectors workers. However, with the passage of RA 7875 or the National Health Insurance Act of 1995, SSS and GSIS transferred the administration of the Medicare program to the Philippine Health Insurance Corporation (PhilHealth) for an integrated and comprehensive approach to health development.

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Article Written By pruelpo

My favorite Saying: “Dream Big and don’t stop without giving it a chance to come true.” I am a father of 3 for 27 years, OFW for 17 years , a Blogger, sometimes a Poet, Self-motivated and Professional by experience. You can call me Paul or Pruel. I am friendly animal but can kick you off when it is needed. LOL. I have no specific areas where my writing will focus on. I write any subject that interests me under the merciless sun.

Last updated on 23-07-2016 309 0

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