The Social Security System (SSS) has renewed its partnership with the Department of Interior and Local Government (DILG) to strengthen the monitoring of businesses’ SSS compliance as part of the pension fund’s campaign to protect its members from erring employers.
SSS President and Chief Executive Officer Emilio de Quiros, Jr. disclosed that a new agreement provides for regular sharing of information between the SSS and local government units (LGUs), which will serve as basis in the issuance of business permits or licenses needed by employers to continue operating every year.
In an earlier arrangement between SSS and DILG dating back to 2001, employers and business operators were required to submit a Certificate of SSS Coverage and Compliance before they could secure a business permit or license, or "Mayor’s Permit," from their LGU during the business renewal period at the start of every year.
Under the new agreement, SSS branches will provide their covered LGUs on the last business day of every year a list of registered employers, business owners or operators with SSS delinquencies. Employers with overdue SSS obligations will not be issued a Mayor’s Permit, although LGUs have the option to issue three-month temporary permits to give these businesses time to settle their delinquent SSS accounts.
If the validity of the temporary permit has lapsed after three months and the employer is still non-compliant, no regular permits will be issued to the employer until the SSS delinquency has been settled.