LTFRB: No franchise papers sans SSS listing

Published by rudy Date posted on May 12, 2009

The Land Transportation Franchising and Regulatory Board (LTFRB) warned yesterday that it will not issue a certificate of franchise to public transport operators who are not registered with the Social Security System (SSS).

LTFRB Chairman Alberto Suansing said the applicants should first register their businesses with the SSS before being issued with a franchise.

“There is a certain provision in the SSS law that owners of business establishments, no matter how small the capitalization, have an obligation to register with the SSS,” Suansing said.

He said the SSS has recently sought the help of the LTFRB in registering public transport franchise holders. He added they will assist the agency to determine how many franchise holders have registered with SSS.

According to Suansing, there are 200,000 to 300,000 individual franchise holders of public utility jeepneys, buses, taxis and trucks nationwide. There are also cases in which transport operators deduct SSS contributions from their drivers but do not remit them to the agency, he added.

This, as Suansing said they are now looking into the possible liability of the operator of the passenger bus that figured in an accident in Batangas over the weekend.

Suansing said he has requested for the copy of the investigation report from regional office regarding the road mishap, which claimed the lives of three persons and injured 30 others.

“We still have to establish the culpability of the operator,” Suansing said in an interview.

He said they still have to determine if the drivers of the PP Bus Line and the 10-wheeler truck driver were at fault.

Suansing also clarified that he has yet to order a suspension or cancelation of the bus operator’s franchise. –Jason Faustino, Daily Tribune

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