The Social Security System (SSS) today reported that more than 600 employers served with written notices from last year’s Run After Contribution Evaders (RACE) operations have already complied with the stern warning from SSS.
SSS Concurrent Acting Vice President for Luzon North 1 Division Nancy M. Umoso said SSS was able to collect ₱18.4 million worth of past-due contributions and penalties, as of December 2024.
“Of the 619 employers, 184 have already paid their delinquencies in full while 79 have applied for condonation programs to pay their obligations in flexible payment terms,” Umoso said.
She added that the remaining 309 employers have registered their businesses with SSS and produced the requested documents. “The remaining 47 employers are either waiting for the approval of their installment proposals, properties subjected to Warrants of Distraint, Levy and/or Garnishment, or reconciliation of their billings.”
“SSS will closely monitor the delinquency collection of those who applied for condonation and installment payment plans through our Account Officers. We require them to submit a monthly report to keep track the progress of their payments,” Umoso said.
Cessation of business operations
Umoso disclosed that 9 employers whom they issued violation notices last year have ceased their operations.
“Several businesses that are no longer operational failed to inform SSS about cessation of their businesses. We want to remind them that they should report to SSS if they will be halting their operation so we will no longer send billing statements for the monthly SSS contributions,” Umoso said.
She added that employers who cease operations should submit the SSS Form R8 or the Employer Data Change Request and the SSS R1A or Employment Report to determine the last payment of SSS contributions.
“The employer should attach a copy of surrendered business permit and two valid IDs for single proprietor, and dissolution if the business is corporation,” Umoso said.
Legal actions will be taken
She said that seven employers who failed to comply with the written notices might have to face legal consequences for violating the law.
“Our SSS Operations Legal Department–Luzon North 1 Division have filed a complaint against these delinquent employers with the Prosecutor’s Office for possible filing of criminal case against them,” Umoso said.
If found guilty, she explained that they will have to face six years and one day to 12 years imprisonment and required to pay a fine ranging from ₱5,000 to ₱20,000.00.
Umoso appeals to all employers with pending obligations to act and fulfill their duties.
“Please protect your workers’ welfare by staying compliant with the Social Security Law. Do not wait for a violation notice to be served. Visit our office today for assistance—let us help you to get it right,” Umoso concluded.
The RACE Campaigns of Luzon North 1 Division cover all employers in the provinces of Ilocos Norte, Ilocos Sur, La Union, Abra, Mt. Province and Baguio-Benguet. During the operations, erring employers received violation notices for non-registration of their businesses; non-remittance/ under-remittance of Social Security (SS) and Employees’ Compensation (EC) contributions; non-production of records; non-reporting/under-reporting of employees and non-remittance/ under-remittance of salary or calamity loan amortization of employees to SSS.