President Gloria Macapagal-Arroyo has approved a 10 percent across-the-board increase of the pension of more than one million Social Security System (SSS) pensioners effective Aug.1.

SSS President and Chief Executive Officer Corazon de la Paz said the Chief Executive approved the increase on recommendation of the Social Security Commission, the institution’s policy-making body.

“Starting in September pensioners will receive in their accounts the 10 percent increase retroactive to the month of August on top of their regular pension,” De la Paz said.  

Covered by the increase are pensioners as of July 31, 2007. This is the second time in less than a year that SSS granted a 10-percent hike in pensions. The last pension increase in September last year was the first increase in pension benefits since 2000. 

The SSS has a total of 1.2 million disability, death and retirement pensioners. Pension amounts range from a monthly minimum of P1, 000 to a maximum of P21, 443. SSS Executive Vice President and Chief Actuary Horacio Templo said the increase does not impair the actuarial soundness of the Fund, which has lengthened to last until 2038.   

In the 1999 projection, the SSS actuarial fund was to last only until 2015, Templo said. 

He said that despite the increase in the pension of pensioners, the SSS is expected to post a surplus of P2.6 billion from the contributions vis-à-vis benefit payments because of its vigorous collection campaign and an improving economic climate. 

The SSS, which is celebrating its 50th year anniversary on Sept.1, was cited in a recent survey by the Social Weather Station as the number one among government financial institutions in terms of sincerity in battling corruption.

SSS obtained a “very good” sincerity rating of +52 in the survey of managers of 705 companies in Metro Manila, Metro Cebu, Metro Davao and the provincial clusters of Cagayan de Oro-Iligan and Cavite-Laguna-Batangas. {sidebar id=9}

To clamp down on corruption, SSS has created an Integrity Committee, which looks into its operations, systems and procedures.(PIA-Pagadian)

Last update : 25-09-2007 12:11

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