THE Palace said Tuesday it was confident that President Benigno Aquino III was given the correct data by the Social Security System after lawmakers questioned the figures he used to justify vetoing a bill that would have raised pensions for 2.1 million retirees by P2,000 a month.
“In all instances the SSS has been transparent in giving all data and this has been open to public scrutiny,” said Communications Secretary Herminio Coloma Jr., in defending the presidential veto, which has come under heavy criticism.
“There are several details that need to be scrutinized. But it is clear and simple… First of all, the P2,000 increase in monthly pension to 2.1 million pensioners for 13 months a year—13 months is given for the pension—the total cash outflow is P56 billion,” Coloma said.
“Compared to the regular profit of the SSS from investment income, there would be a deficit or shortage of P16 billion to P26 billion a year,” Coloma said, noting that this would deplete the SSS funds in 13 years or by 2029.
Coloma also fended off criticism that the SSS could not pay the higher pensions because it had been remiss in its collections.
He said that from 2000 to 2011, the SSS contributions were not enough to pay for its operating expenses and member benefits. This changed from 2012 to 2015, he said, when there was a contribution surplus of almost P10 billion.
He also said the administration had managed to extend the actuarial life of the investment reserve fund from 2039 to 2042.
Senatorial candidate and Leyte Rep. Martin Romualdez on Tuesday urged SSS chief executive and president Emilio de Quiros Jr. to reconsider his outright rejection of a pension increase in the remaining six months of the Aquino administration.
Romualdez said the SSS should not ignore its more than 2-million pensioners, who were disappointed when Aquino vetoed the bill seeking to increase their monthly pensions by P2,000.
He said De Quiros’ outright rejection of a pension hike was “lamentable” and showed a lack of sensitivity or malasakit in his approach to public service.
“Why not first discuss and consult Congress on the possible ‘win-win’ solution like reducing the proposed across-the-board increase of pension to P1,000?” Romualdez, head of the House independent minority bloc, said.
“Our challenge is for the SSS and the government to reconsider their position. A small amount of increase is better than totally ignoring the pensioners,” Romualdez said.
“We have over two million SSS pensioners who are in their sunset years and may not be benefitting from government’s dole program despite their huge contributions in the nation-building before,” Romualdez said. With Maricel V. Cruz