SSS prepares unemployment fund

by Paolo Romero with Cecille Suerte Felipe, Mayen Jaymalin, The Philippine Star, Feb 20, 2019

MANILA, Philippines — Social Security System (SSS) members who have lost their jobs may apply for unemployment assistance under Republic Act 11199 or the Social Security Act of 2019, which President Duterte signed into law last week.

Sen. Richard Gordon, an author of the law, said the landmark legislation now provides for unemployment insurance or involuntary separation benefits for the state pension fund’s members which could help tide them over while they are looking for work.

“For the first time in the country’s history, we now have unemployment insurance. It will start with two months, at least you can get P10,000 a month if you had been paying contributions under the maximum salary credit,” Gordon said.

Under Section 14-B of RA 11199, a member who finds himself involuntarily unemployed can claim unemployment benefit equivalent to 50 percent of his average monthly salary credit for a maximum of two months.

The member should not be more than 60 years of age and has paid at least 36 months’ contributions, 12 months of which should be within the 18-month period prior to the involuntary unemployment or separation. A member can only claim unemployment benefits once every three years.

“It will allow you to look for another job. While you can’t relax and you have to look for a job because you can only get a maximum of two months, you will have something for your expenses,” he said.