Sss Case Study (Final)

THE REVIEW ON THE OFFICE OF THE
SOCIAL SECURITY SYSTEM
A Case Study
In Partial Fulfillment of the Requirement

In PS 14a
(Philippine Public Administration)
Maila Adlawan
Melanie Bonita
Ralph Carpenteros
Niño Angelo Etulle
Alily Grace Sardeñola
Karla Marie Tagaro
CHAPTER 1
The Problem and Its Setting
Rationale:
This study aims to:
 Promote information through research that can help other

students to know better about one of the government agency
used by the government in administering the public.
 Increase the awareness of the student and others about a
government agency particularly the Social Security System
(SSS) about their ways of management and their function in
the society.
 Answer questions about one of the government agency, the
SSS, and highlight the projects and programs created that will
constitute the duties and mandate by the state.
Statement of the Problem:
The purpose of this study is to further understand the nature,

structure, powers and functions, issues and concern of the office of
the Social Security System. This study focus mainly to answer the
following questions:
 What is the structure of the Office of the Social Security System?

 What are the powers and functions of the Office of the Social
Security System?
 What are the issues and concern of the Office of the Social
Security System?
 What are the possible recommendations for the Office of the
Social Security System?
Chapter II
Data Gathered
History
The Social Security Commission was first establish on July 7,

1948 under the administration of President Elpidio Quirino but it was
first proposed by former President Manuel A. Roxas in Congress. The
proposed bill for the commission seeks to establish a social security
system for the wage earners and low-salaried employees. This
commission was the one who drafted the social security act and
enacted as Republic Act 1161, or Social Security Act of 1954.
However, its implementation was subjected by a lot of objection

from most of the business and labor sectors. It was only in 1957, that
the mandatory bills were presented in Congress creating Republic Act
1792, amending the original Social Security Act.
On September 1, 1957 when the Social Security Act of 1954 or

the Social Security Law (SS Law) was officially implemented adopting
the social insurance approach to social security, covering the
employed segment of the labor force in the private sector that give
birth to Social Security System or most commonly known as SSS.
Under SSS there were two programs that was administered by

the said commission namely, the Social Security Program and the
Employees’ Compensation (EC) Program. These two programs provide
financial help for the contributors of the SSS, the later provide a
double compensation for the workers who had illness, death or
accident during work-related activities.
Through the years, SSS programs improved. In 1980, self-
employed person were required to contribute to the social security
fund from which benefit are paid upon the occurrence of a
contingency provided by law where self-employed farmers and
fisherfolks were also included in the program not after 1992.
Household helpers who earn at least 1,000 where included in the
compulsory coverage of employees during 1993 and in 1995, workers
in the informal sector earning at least 1,000 per month were covered
by the SSS, example where abundant vendors and watch-your-car
boys.
During the reign of President Fidel V. Ramos, Republic Act 8282

or known as Social Security Act of 1997 was enacted to further
strengthen the SSS. The act provided a more complex and better
benefit packages, expansion of coverage, and flexibility in investment,
stiffer penalties for violators of law, condonation of penalties of
delinquent employers, and the establishment of a voluntary provident
fund for members.
Nature and Scope
The Philippine Social Security System or SSS is a government

agency responsible for the administration of the pension fund of
private sector workers and self-employed individual. It was under the
R.A 1161 and further strengthens under R.A. 8282 where SSS was
established and given nature into.
It is mandated under Section 2, RA 8282 in which it states that:
“It is the policy of the State to establish, develop, promote and perfect a
sound and viable tax-exempt social security system suitable to the needs of
the people throughout the Philippines which shall promote social justice and
provide meaningful protection to members and their families against the
hazards of disability, sickness, maternity, old-age, death and other
contingencies resulting in loss of income or financial burden. Towards this
end, the State shall endeavor to extend social security protection to workers
and their beneficiaries.”
Its vision centers to develop and promote a viable, universal and

equitable social security protection under world-class service; Viable
in which social security protection shall be provided through
generations. Universal where social security protection is given to all
the residents of the Philippines, whether a citizens or non-citizens
alike regardless of its gender, age, geographic location and economic
status, especially the disadvantaged one, so that everyone wouldn’t be
a burden to the country. Equitable social security wherein benefits are
significant and capable to sustain an upright standard of living with a
fair and uniform coverage of available privileges for all its affiliates and
lastly a world-class service for everyone that will suffice the
expectation of its associates and members and provide a high
satisfactory rate for all.
The Social Security System aims to institutionalize a corporate

culture that will instill the core values of trust, empowerment and
teamwork for both its members and officers.
Structure of SSS
The Social Security System hereinafter referred to as "SSS", a

corporate body, with principal place of business in Metro Manila,
Philippines, is hereby created. The SSS shall be directed and
controlled by a Social Security Commission, hereinafter referred to as
"Commission", composed of the Secretary of Labor and Employment
or his duly designated undersecretary, the SSS president and seven
(7) appointive members, three (3) of whom shall represent the workers'
group, at least one (1) of whom shall be a woman; three (3), the
employers' group, at least one (1) of whom shall be a woman; and one
(1), the general public whose representative shall have adequate
knowledge and experience regarding social security, to be appointed
by the President of the Philippines.
Social Security Commission:
Chaiman
(from the DOLE)
Vice-Chairman
(SSS President)
3 Appointed Member 3 Appointed Member 1 Appointed Member

(represent the (represent the (represent the
workers' group) employers' group) general public)
The six (6) members representing workers and employers shall

be chosen from among the nominees of workers' and employers'
organizations, respectively. The Chairman of the Commission shall be
designated by the President of the Philippines from among its
members. The term of the appointive members shall be three (3) years:
Provided, That the terms of the first six (6) appointive members shall
be one (1), two (2) and three (3) years for every two (2) members,
respectively: Provided, further, That they shall continue to hold office
until their successors shall have been appointed and duly qualified.
All vacancies, prior to the expiration of the term, shall be filled for the
unexpired term only. The appointive members of the Commission
shall receive at least Two thousand five hundred pesos (P2,500.00) per
diem for each meeting actually attended by them, but not to exceed
Ten thousand pesos (P10,000.00) a month: Provided, That members of
the Commission who hear and evaluate cases pending before the
Commission shall also receive a per diem of at least Two thousand five
hundred pesos (P2,500.00), but not to exceed Fifteen thousand pesos
(P15,000.00) a month: Provided, further, That said members of the
Commission shall also receive reasonable transportation and
representation allowances as may be fixed by the Commission, but not
to exceed Ten thousand pesos (P10,000.00) a month.
The general conduct of the operations and management

functions of the SSS shall be vested in the SSS President who shall
serve as the chief executive officer immediately responsible for
carrying out the program of the SSS and the policies of the
Commission. The SSS President shall be a person who has had
previous experience in technical and administrative fields related to
the purposes of this Act. He shall be appointed by the President of the
Philippines and shall receive a salary to be fixed by the Commission
with the approval of the President of the Philippines, payable from the
funds of the SSS. The Commission, upon the recommendation of the
SSS President, shall appoint an actuary and such other personnel as
may be deemed necessary; fix their reasonable compensation,
allowances and other benefits; prescribe their duties and establish
such methods and procedures as may be necessary to insure the
efficient, honest and economical administration of the provisions and
purposes of this Act: Provided, however, That the personnel of the SSS
below the rank of Vice‐President shall be appointed by the SSS
President: Provided, further, That the personnel appointed by the SSS
President, except those below the rank of assistant manager, shall be
subject to the confirmation by the Commission: Provided, further,
That the personnel of the SSS shall be selected only from civil service
eligible and be subject to
civil service rules and regulations: Provided, finally, That the SSS shall
be exempt from the provisions of Republic Act No. 6758 and Republic
Act No. 7430.
Power and Function of SSS
The SSS is working hard to extend social security protection to

all Filipino workers and their beneficiaries. It is the duty of the state to
operate a mechanism that provides protection to its people. The SSS
in the Philippines was created in 1948, designed for wage earners and
low-salaried employees. Later it evolved, and the government also
adopted the social insurance approach to social security, covering the
employed segment of the labor force in the private sector.
The SSS administers two programs namely:
 The Social Security Program (it provides replacement income for

workers in times of death, disability, sickness, maternity and
old age).
 The Employee’s Compensation Program (it provides double

compensation to the worker when the illness, death or accident
occurs during work-related activities).
It is the policy of the State to establish, develop, promote and

perfect a sound and viable tax-exempt social security system suitable
to the needs of the people throughout the Philippines which shall
promote social justice and provide meaningful protection to members
and their families against the hazards of disability, sickness,
maternity, old age, death and other contingencies resulting in loss of
income or financial burden. Toward this end, the State shall endeavor
to extend social security protection to workers and their beneficiaries.
Facts and Figures of SSS as of the Year 2011:
Benefits:
January - June 2011

(actual)
Amount
(In Number
Millions)
TOTAL BENEFITS P 2,098,961

41,030.33
Social Security P 2,061,051

40,485.56
Retirement* 20,518.36 825,425
Death* 14,162.83 756,680
Disability* 1,686.73 86,335
Maternity 1,887.05 103,467
Sickness 914.62 226,177
Funeral Grant 1,315.96 62,967
Employees' P 544.77 37,910

Compensation
Death* 409.66 18,146
Disability* 60.07 2,337
Sickness 54.35 14,954
Medical Services 18.70 2,271
Funeral Grant 1.99 202
*Pensions included
TOTAL
PENSIONERS Number
As of March 2011 1,593,352
Average
By Benefit Type: Number Pension
]Social Security 1,573,667
Retirement 789,457 P 3,345
Death 722,059 2,692
Disability 62,151 3,115
Employees' 19,685
Compensation
Death 17,944 P 3,335
Disability 1,741 3,806
By Number % Share
Type ofRemittance:
Through Banks 1,575,348 98.9%
Mailed Checks 18,004 1.1%
MONTHLY PENSION:
Average : P 3,040
Minimum : 1,000
Highest : 23,588
Investment and Assets:
As of June 2011
Amount %
(In Millions) Share
INVESTMENTS
Government Securities P 107,193.08 35.9%
Equities 88,910.07 29.7%
Member Loans 62,674.57 21.0%
Bank Deposits 15,554.87 5.2%
Corporate Notes and Bonds 11,898.28 4.0%
Real Estate 12,696.21 4.2%
TOTAL INVESTMENTS P 298,927.08
AVERAGE RETURN ON 8.4%

INVESTMENT
TOTAL ASSETS P314,605.16
Contributions:
January - June 2011
Amount
(In Millions)
CONTRIBUTIONS P 42,720.20
INVESTMENT & OTHER INCOME P 15,201.09
TOTAL REVENUES P 57,921.29

Loans Granted:
LOANS
January - March 2011
(actual)
Amount
Number Average
(In Millions)
TOTAL LOANS P 3,638.88 248,600
Salary P3,638.51
248,599
Housing 0.37 1
Members:
As of June 2011
(actual)
Employers (ER) - 884,457

Employees (EE) - 20,009,890
Self-Employed (SE) - 5,780,998
Voluntary (VM) - 3,242,058
CLUSTER
Luzon North ER - 76,601
EE - 724,314
SE - 590,296
VM - 137,834
Luzon Central ER - 88,462
EE - 1,179,164
SE - 914,433
VM - 185,392
NCR ER - 367,914
EE - 11,059,427
SE - 1,043,845
VM - 1,996,920
Luzon South ER - 75,373
EE - 1,232,429
SE - 494,825
VM - 169,636
Bicol Region ER - 31,893
EE - 283,100
SE - 321,886
VM - 78,106
Visayas West ER - 50,346
EE - 1,485,555
SE - 559,381
VM - 170,458
Visayas Central ER - 78,113
EE - 1,494,646
SE - 344,088
VM - 172,500
Mindanao North ER - 43,444
EE - 910,982
SE - 619,748
VM - 101,067
Mindanao West ER - 15,449
EE - 353,071
SE - 282,234
VM - 46,848
Mindanao South ER - 56,862
EE - 1,287,202
SE - 610,262
VM - 183,297
Administration:
ADMINISTRATION
January - June 2011
OPERATING EXPENSES
Amount
(In
Millions)
TOTAL OPERATING P3,749.05

EXPENSES
As % of revenues: 6.5%
As of June 2011
WORKFORCE
Main Office 1,611
Branch Offices 3,544
TOTAL 5,155
OFFICES
Processing Centers 26
Receiving Centers 120
Representative Offices 37
TOTAL 183
National Capital Region (36)
NCR Central 6
NCR North 19
NCR South* 11
Luzon (72)
Luzon North 17
Luzon Central 21
Luzon South 24
Bicol Region 10
Visayas (30)
Visayas Central 16
Visayas West 14
Mindanao (32)
Mindanao North 11
Mindanao South 14
Mindanao West 7
Foreign Offices (14)
Abu Dhabi, Al-khobar, Brunei, Doha,

Hong Kong, Jeddah, Kuwait, London,
Milan, Riyadh, Rome, Singapore, and
Taipei
* Includes POEA
Coverage of SSS
Compulsory Coverage
1. Coverage of Employees
a) A private employee, whether permanent, temporary or provisional,
who is not over 60 years old.
b) A household-helper earning at least P1,000 a month is compulsorily
covered starting Sept. 1, 1993.
A household-helper is any person who renders domestic or household
services exclusively to a household employer such as driver,
gardener, cook, governess, and other similar occupations, who is
not a member of the family of the household employer (HR) or
his/her spouse.
c) A Filipino seafarer upon actual deployment by the manning agency
which, together with the foreign ship owner, act as employers.
d) An employee of a foreign government, international organization or
their wholly-owned instrumentality based in the Philippines,
which entered into an administrative agreement with the SSS for
the coverage of its Filipino workers.
2. Coverage of Employers
a) An employer, or any person who uses the services of another person
in business, trade, industry or any undertaking.
A social, civic, professional, charitable and other non-profit
organization which hire the services of employees are considered
“employers.”
b) A foreign government, international organization or its wholly-
owned instrumentality such as embassy in the Philippines, may
enter into an administrative agreement with the SSS for the
coverage of its Filipino employees.
3. Coverage of Self-Employed Persons
A self-employed person, regardless of trade, business or occupation,
with an income of at least P1,000 a month and not over 60 years
old, should register with the SSS. Included, but not limited to the
following are selfemployed persons:
a) self-employed professionals;
b) partners, single proprietors of businesses and board directors of
corporations duly registered with appropriate government
agencies;
c) actors, actresses, directors, scriptwriters and news correspondents
who do not fall within the definition of the term “employee;”
d) professional athletes, coaches, trainers and jockeys;
e) farmers and fisherfolks; and
f) workers in the informal sector such as sidewalk vendors, ambulant
vendors, watch-your-car-boys, and those similarly situated.
Voluntary Coverage
1. Coverage of Separated Members
A member who is separated from employment or ceased to be self-
employed/OFW/nonworking spouse and would like to continue
paying his/her contributions.
2. Coverage of Overseas Filipino Workers (OFWs)
A Filipino recruited in the Philippines by a foreign-based employer for
employment abroad; having a source of income in a foreign
country; and permanent resident in a foreign country.
3. Coverage of Non-Working Spouses of SSS Members
A person legally married to a currently employed and actively paying
SSS member who devotes full time in the management of
household and family affairs may be covered on a voluntary basis
provided there is the approval of the working spouse. The person
should never have been a member of the SSS. The contributions
will be based on 50 percent of the working spouse’s last posted
monthly salary credit but in no case shall it be lower than P1,000.
When does the coverage of members take effect?
Effectivity of Compulsory Coverage
1. For an employee- on the first day of employment
2. For an employer- on the first day the employer hires their first
employee/s.
The employer is given 30 days from the date of employment of
employee to report the person for coverage to the SSS thru the
Employment Report (SS Form R-1A).
3. For self-employed persons – upon payment of the first valid
contribution, in case of initial coverage.
Effectively of Voluntary Coverage
1. For an overseas Filipino worker- upon first payment of contribution,
in case of initial coverage.
2. For a non-working spouse- upon first payment of contribution.
3. For a separated member- on the month the person resumed
payment of contribution.
BENEFICIARIES
A. Old Age, Disability, and Survivors
Regulatory Framework
First and current law: 1954 (old age, disability, and survivors), with
1997 amendment.
Type of program: Social insurance system.
 Coverage
Private-sector employees up to age 60 earning at least 1,000 pesos a

month; domestic employees up to age 60 earning at least
1,000 pesos a month; and all self-employed persons up to age 60
with 1,000 pesos or more in monthly income.
Voluntary coverage for Filipinos recruited by a foreign-based

employer for employment abroad; insured persons who are no
longer eligible for compulsory coverage; and nonworking spouses of
insured persons.
Special systems for government employees and military personnel.
 Source of Funds
Insured person: 3.33% of monthly gross insured earnings. The

insured monthly earnings are set according to 29 income classes.
Voluntarily insured persons pay the combined insured person and
employer contributions of 9.4% of monthly gross insured earnings,
according to 29 income classes. Voluntarily insured nonworking
spouse' contributions are based on 50% of the monthly gross
insured earnings of the working spouse. Voluntary contributions
may be paid in advance for a period of up to 5 years, in which case
the payable amount is adjusted by a discount factor.
The minimum insured monthly earnings for contribution and

benefit purposes are 1,000 pesos (5,000 pesos for voluntarily
insured overseas workers).
The maximum insured monthly earnings for contribution and

benefit purposes are 15,000 pesos.
The above contributions also finance cash sickness and maternity

benefits and funeral benefits.
Self-employed person: Pays the combined insured person and
employer contributions of 9.4% of monthly gross insured earnings,
according to 29 income classes. Contributions may be paid in
advance for a period of up to 5 years, in which case the payable
amount is adjusted by a discount factor.



Employer: 6.07% of the employee's monthly insured earnings.


Government: Any deficit.
The minimum and maximum insured monthly earnings for

contribution purposes are adjusted periodically by the Social
Security Commission, subject to the approval of the President of the
Philippines.
 Qualifying Conditions
Old-age pension: Age 60 with 120 months of contributions before

the 6-month period prior to retirement. Employment or self-
employment must cease. Age 65, regardless of employment, with
120 months of contributions.
Age 55 (underground mineworkers) if involuntarily unemployed or

ceased self-employment and worked underground for at least
5 years.
The pension is suspended if an old-age pensioner resumes

employment or self-employment before age 65. There is no
employment test after age 65.
Old-age settlement: Age 60 with less than 120 months of
contributions.
Disability pension: Permanent total or partial disability with
36 months of contributions before the 6-month period prior to the
onset of disability. The insured must have an assessed degree of
disability of at least 20%. A Social Security System doctor assesses
the degree of disability annually.
The pension is suspended if the disability pensioner recovers,

resumes employment (in the case of total disability), or fails to
report for the annual physical examination.
Disability grant: Permanent total or partial disability with less than
Survivor pension: Payable for the death of the insured. The insured
had 36 months of contributions prior to the 6-month period before
death; the death of an old-age pensioner or disability pensioner.
Eligible survivors are the surviving spouse and up to five dependent

children younger than age 21 (no limit if disabled), unless married
or earning 300 pesos or more a month from employment. The
spouse's benefit ceases on remarriage, with the spouse's part
transferred to the eligible surviving children.
Survivor grant: A lump sum is payable if the deceased had less than
Eligible survivors are the surviving spouse and up to five dependent

children younger than age 21 (no limit if disabled), unless married
or earning 300 pesos or more a month from employment. In the
absence of spouse and dependent children, the benefit is payable to
dependent parents or to the person named by the deceased.
Funeral grant: Payable to the person who organizes the funeral.
1. Old-Age Benefits
Old-age pension: The monthly pension is equal to 300 pesos, plus

20% of the insured's average monthly insured earnings, plus 2% of
the insured's average monthly insured earnings for each year of
service in excess of 10 years or 40% of the insured's average
monthly insured earnings, whichever is greater.
Average monthly insured earnings are equal to the sum of the last
60 months' insured earnings immediately before the 6-month period
prior to the claim divided by 60, or the sum of all monthly insured
earnings paid immediately before the 6-month period prior to the
claim, divided by the number of monthly contributions paid in the
same period, whichever is greater.
The minimum pension is 1,200 pesos a month if the insured

contributed for at least 10 years but for less than 20 years;
2,400 pesos with at least 20 years of contributions.
There is no maximum monthly pension.
Partial lump sum: The insured may choose to receive the first
18 monthly pension payments (not including dependent
supplements and the 13th pension payment in the first year) in a
lump sum.
Dependent supplement: 10% of the old-age pension or 250 pesos,

whichever is greater, is provided to each of the five youngest
children younger than age 21 conceived on or before the insured's
retirement (no limit if disabled). The supplement ceases before
age 21 if a child marries or earns 300 pesos or more a month from
employment.
Schedule of payments: Thirteen payments a year. (Newly retired

pensioners may choose to receive the first 18 monthly pension
payments as a lump sum, discounted at a preferable rate of interest.
In such cases, the periodic pension is payable from the 19th
month.)
Benefit adjustment: Periodic ad hoc adjustment of benefits based on

price and wage changes and on the financial health of the fund,
subject to approval by the Social Security Commission.
Old-age settlement: Employee and employer contributions plus 6%
interest.
2. Permanent Disability Benefits
Disability pension: The monthly pension is equal to 300 pesos plus

service in excess of 10 years or 40% of the insured's average
monthly insured earnings, whichever is greater.
claim divided by the number of monthly contributions paid in the
The minimum pension is 1,000 pesos a month if the insured has

less than 10 years of contributions; 1,200 pesos with at least
10 years but less than 20 years; or 2,400 pesos with at least
20 years of contributions.
There is no maximum disability pension.
Dependent supplement (permanent total disability): 10% of the

disability pension or 250 pesos, whichever is greater, is provided to
each of the five youngest children younger than age 21 conceived on
or before the onset of disability (no limit if disabled). The
supplement ceases before age 21 if a child marries or earns
300 pesos or more a month from employment.
Partial disability: The pension is reduced in proportion to the

assessed degree of disability. The total pension benefit is paid in a
lump sum if the payment period is less than 12 months.
Supplementary allowance (permanent total and partial disability):

500 pesos a month.
Schedule of payments: Thirteen payments a year.

Disability grant: For permanent total disability, a lump sum equal to
the insured's monthly pension times the number of monthly
contributions or 12 times the monthly pension, whichever is greater.
Partial disability: The grant for a permanent partial disability is a

lump sum equal to the insured's monthly pension times the number
of monthly contributions times the assessed total degree of
disability, or 12 monthly pension's times the assessed degree of
disability, whichever is greater.

3. Survivor Benefits
Survivor pension: 100% of the monthly old-age pension that would

have been payable to the deceased.
The minimum monthly pension is 1,000 pesos if the deceased

contributed for at least 10 years; 1,200 pesos with at least 10 but
less than 20 years; 2,400 pesos with at least 20 years of
contributions.
There is no maximum survivor pension.
Dependent supplement: 10% of the deceased's pension or

250 pesos, whichever is greater, is paid to each of the five youngest
children younger than age 21 conceived on or before the date of
death (no limit if disabled). The supplement ceases before age 21 if a
child marries or earns 300 pesos or more a month from
employment.
Survivors of an old-age or a permanent total disability pensioner:

100% of the deceased's pension plus dependent supplements. In the
absence of a surviving spouse and dependent children and if the
insured died within 60 months after first receiving a pension, a
lump sum equal to 60 months' pension less the value of the pension
already paid is payable to dependent parents. In the absence of
dependent parents, the benefit is payable to the person named by
the deceased.
Schedule of payments: Thirteen payments a year.

Survivor grant: The lump sum is equal to the deceased's monthly
old-age pension times the number of monthly contributions, or
12 monthly pensions, whichever is greater.

Funeral grant: 20,000 pesos to the person who pays for the funeral
expenses. (A 20,000 pesos memorial service assistance program
package may be provided by accredited life insurance companies.)

4. Administrative Organization
A tripartite Social Security Commission is responsible for the

general management, supervision, and regulation of the program.
Social Security System collects contributions and pays benefits

under the direction and control of the Social Security Commission.
B. Sickness and Maternity
First and current laws: 1954 (sickness), with 1997 amendment;

1969 (medical benefits), with 1995 amendment; and 1977
(maternity), with 1997 amendment.
Type of program: Social insurance system. Cash and medical
benefits.
 Coverage
Cash sickness and maternity benefits: Private-sector employees up

to age 60; domestic employees earning at least 1,000 pesos a
month; and all self-employed persons with 1,000 pesos or more in
monthly income.

employer for employment abroad, insured persons who are no
longer eligible for compulsory coverage, and nonworking spouses of
insured persons.
Special system for government employees except for maternity

benefits.
Medical benefits: Private- and public-sector employees up to age 60;
domestic employees earning at least 1,000 pesos a month; and all
self-employed persons with 1,000 pesos or more in monthly income.
Full coverage is provided to pensioners and retired persons, and

limited coverage is provided to certain categories of people with low
or no income.

employer for employment abroad and certain other groups of people.
 Source of Funds
Insured person
Cash sickness and maternity benefit: See source of funds under Old
Age, Disability, and Survivors, above.
Medical benefits: Employed persons, 1.25% of gross monthly
insured earnings (earnings are fixed according to 12 income
classes); none for pensioners and their dependents or for certain
categories of people with low or no income; voluntary contributors
pay 100 pesos a month.
The minimum monthly earnings for contribution purposes for

medical benefits are 4,000 pesos.
The maximum monthly earnings for contribution purposes for

Self-employed person
Medical benefits: 100 pesos a month.


Employer
Medical benefits: 1.25% of the employee's monthly insured earnings.


Government: Pays the cost of medical benefits for certain categories
of people with low or no income; any deficits.
The contribution is payable monthly except for the self-employed

and voluntary members, who may pay contributions monthly,
quarterly, semiannually, or annually.
The minimum and maximum insured monthly earnings for

contribution purposes are adjusted periodically by the Social
Security Commission, subject to the approval of the President of the
Philippines.
Cash sickness benefits: Three months of contributions in the last

12 months immediately before the 6-month period prior to the onset
of sickness. The insured must be hospitalized or incapacitated at
home for at least 4 days. Medical certification must be provided.
Cash maternity benefits: Three months of contributions in the last
12 months immediately before the 6-month period prior to the
childbirth or miscarriage. The insured is covered for four deliveries,
including miscarriages. Medical certification of the pregnancy and a
birth certificate are necessary.
Medical benefits: Three months of contributions in the last
12 months before the first day of incapacity; contribution conditions
are waived for pensioners, retired persons, and certain categories of
people with low or no income.
1. Sickness and Maternity Benefits
Sickness benefit: A daily allowance equal to 90% of the insured's

average daily insured earnings. Daily insured earnings are equal to
the sum of the 6 highest months' insured earnings in the 12 months
before the 6-month period prior to the onset of sickness divided by
180. The benefit is payable after a 3-day waiting period (unless for
an injury or an acute disease) for up to 120 days in a calendar year.
The payment of benefit must not exceed 240 days for the same
illness.
Maternity benefit: 100% of the insured's average daily insured
earnings. Daily insured earnings are equal to the sum of the 6
highest months' insured earnings in the 12 months before the6-
month period prior to the delivery or miscarriage divided by 180.
The benefit is payable for 60 days for a miscarriage or a
noncaesarian childbirth; 78 days for a caesarian childbirth.
2. Workers' Medical Benefits
Services are delivered by accredited health care providers and are

paid directly by the health fund according to a fixed schedule.
Cost sharing: There is some cost sharing for general and specialist
care, hospital care, laboratory and X-ray fees, surgery, and
medicines.
Inpatient treatment is limited to 45 days a year.
3. Dependents' Medical Benefits
Same as for the insured person, except the limit on inpatient

treatment of 45 days is shared among all eligible dependents (in
addition to the 45 days for the insured person).
Eligible dependents are the spouse; unmarried and nonemployed

legitimate, acknowledged, and illegitimate children and legally
adopted or stepchildren younger than age 21 (no limit if disabled);
and parents aged 60 or older with income below a specified amount
who are not covered through other means.
Cash sickness and maternity benefits: A tripartite Social Security

Commission is responsible for the general management,
supervision, and regulation of the program.
Employers pay sickness and maternity benefits directly to their
employees and are reimbursed by the Social Security System. The
Social Security System pays benefits to self-employed and voluntary
members.
Social Security System collects contributions and administers

benefits under the direction and control of the Social Security
Commission.
Medical benefits: The Department of Health
(http://www.doh.gov.ph) provides policy coordination and guidance.
Philippine Health Insurance Corporation
(http://www.philhealth.gov.ph) collects contributions for the
medical care program and administers the provision of benefits.
Medical care is provided by accredited providers.
C. Work Injury
First and current law: 1974 (work injury), implemented in 1975,

with 1996 amendment.
Type of program: Social insurance system.
 Coverage
Employers and employed persons, including domestic employees

and Filipinos recruited by a foreign-based employer for employment
abroad, not older than age 60.
There is no voluntary coverage.
Exclusions: Self-employed persons.
Special systems for government employees and military personnel.
 Source of Funds
Insured person: None.

Self-employed person: Not applicable.
Employer: 1% of insured's monthly insured earnings up to
1,000 pesos a month. The contribution does not vary according to
the assessed risk level of the employer or accident rate.
Government: Any deficit.
The maximum insured monthly earnings for contribution purposes

are adjusted periodically by the Social Security Commission, subject
to the approval of the President of the Philippines.
Work injury benefits: One month of contributions.
1. Temporary Disability Benefits
90% of the insured's average daily insured earnings. Daily insured

earnings are equal to the sum of the 6 highest months' insured
earnings during the last 12 months divided by 180. The benefit is
payable from the first day of disability for a work-related injury or
sickness for up to 120 days; may be extended up to 240 days if
further treatment is required.
claim, divided by the number of monthly contributions paid in the
The minimum daily benefit is 10 pesos.
The maximum daily benefit 200 pesos.
The benefit is suspended if the beneficiary does not provide a

doctor's monthly medical report.
2. Permanent Disability Benefits

Permanent disability pension: The monthly pension equals 115% of
the insured's old-age pension (115% of the sum of 300 pesos, plus
service in excess of 10 years or 115% of 40% of the insured's
average monthly insured earnings, whichever is greater).
The minimum monthly pension is 2,000 pesos.
Dependent supplement (permanent total disability): 10% of the

disability pension or 250 pesos, whichever is greater, for each of the
five youngest children younger age 21 (no limit if disabled). The
supplement ceases before age 21 if a child marries or earns
300 pesos or more a month from employment.
Partial disability: The pension is equal to the permanent total

disability pension but is paid for a limited period according to the
schedule in law for each particular disability. If the awarded
duration of the pension is less than a year, the pension is paid as a
lump sum.
Supplementary pension (permanent total and partial disability):

575 pesos a month.
The insured must have an assessed degree of disability of at least

20%. The degree of disability is assessed annually by a Social
Security System doctor. The pension is suspended if the beneficiary
is gainfully employed (in the case of total disability), fails to undergo
an annual physical examination, does not provide a doctor's
quarterly medical report, or is fully rehabilitated.
3. Workers' Medical Benefits
Medical, surgical, and hospital services; appliances; and

rehabilitation.
4. Survivor Benefits
Survivor pension: 100% of the monthly permanent total disability

pension to which the deceased would have been entitled.
Dependent supplement: 10% of the deceased's monthly pension for

each of the five youngest children younger than age 21 (no limit if
disabled). The supplement ceases before age 21 if a child marries or
earns 300 pesos or more a month from employment.
In the absence of an eligible spouse or dependent children, the

pension (excluding dependent supplements) is payable to dependent
parents for up to 60 months.
The minimum monthly pension is 2,000 pesos.
Survivors of a permanent total disability pensioner: 100% of the

insured's monthly permanent disability pension plus dependent
supplements.
The pension is shared between the spouse and dependent children

younger than age 21 (no limit if disabled) who are not married or
earning 300 pesos or more a month from employment.
In the absence of an eligible spouse or dependent children, the

insured's monthly pension (excluding dependent supplements) is
payable to dependent parents for 60 months minus the number of
months the pension was paid to the deceased before his or her
death.
Funeral grant: 10,000 pesos payable to the person who paid for the
funeral.
Department of Labor and Employment provides general supervision.
Employees' Compensation Commission, part of the Department of

Labor, initiates and coordinates program policies and determines
contribution rates.
Social Security System collects contributions and pays permanent

disability benefits. Employers pay temporary disability.
Chapter III
Interpretation of Data
The Social Security System as one of the social services agency

of the Philippine government had been an effective branch of
promoting good governance of the government. By establishing the
agency the Philippine government had provide a better respond to
the need of the citizen of the state. It has been helping a lot of
people specially those who are in the labor and employment sectors
in securing their selves from unexpected incidents that may happen
during their work.
From a mandate of the state, many acts were created to
promote, establish and strengthen the social security law of the
land. Imbedded with the concept of protection of man over poverty,
the State had its prime duty to provide such need of operating a
mechanism that would suffice the citizens’ need of protection. Since
the SSS is an agency that protects and secure financial aids to its
members from the different sector of the state a lot of citizen had
willingly sign up with the agency and contribute to its advancement.
SSS, having a centralize government and under the guidance of
Social Security Commission, operates through a centralize form of
government in which local branches depends entirely with the
national office of the agency regarding from all its ruling and
proceedings of its business transaction.
From the given facts and figures in the previous chapter, we can
see a lot of possible benefits that the members and employees of the
agency they can avail. From giving birth to burial and death,
members can receive their benefits and compensation from the
agency and pensions for those who are in the late stages of their life.
We could say that the agency compensate all generations and
continuing providing it to the coming generations. Assets and
investment were also propagating back to back with the
contributions of the members of the agency and increasing
membership. Contributions of the members are well divided and
distributed to the different sectors that the agency is focusing in,
from the social security insurances down to the pensions of the
beneficiaries of the members and other governmental investment
and expenditures.
Many programs like maternity, sickness, retirement, disability
and death were offered by the agency. In maternity benefit, it is
granted to female member who are unable to work due to child birth
or miscarriage where in the female member is given a daily cash
allowance. For sickness benefit, it is given to employees who had
used all his sick leave given by his employer. By doing this, he/she
may be given financial aid for his/her sickness that may not be
provided by his employer. While for retirement benefits, it is granted
to those unemployed who are in the age of 60 or older, 65 or older
regardless of its status or it can be 55 or older if the person once
been a worker of an underground mines for five years. This grand
can help those who are in their golden age to be able to relax
without contemplating that they still need to work to live. For
disability benefit it is most commonly given to those in the
disadvantage of their physical capacity to work, it is either a partial
or a full disability grand depending on the degree of the incapacity
of the member. And lastly the death benefit, it is given to the
beneficiaries of deceased member. Pension given to the beneficiaries
would depend to the contribution of the deceased member and most
likely had its limitations.
Chapter IV
Issues and Concerns
SSS offers calamity relief to members

affected by Typhoon Pablo
About 3.6 million members of the Social Security System (SSS)

can avail themselves of the SSS calamity relief package to help them
and their families recover from the devastation caused by Typhoon
Pablo, which is the strongest typhoon to hit the country so far this
year.
SSS President and Chief Executive Officer Emilio de Quiros, Jr.

said the three-part relief package offers early renewal of salary loans,
advance release of three-months’ worth of pensions, and a two-
percent cut in interest rates of the SSS Direct House Repair and
Improvement Loan.
"Members in declared calamity areas can use their loan

proceeds and advance pensions for basic and immediate needs such
as food, clothing, shelter and medicines. The funds can also serve as
capital for members whose source of livelihood was disrupted by the
typhoon," he added.
The relief package is extended to members in the "declared and

may be declared" calamity areas identified by the National Disaster
Risk Reduction and Management Council (NDRRMC). These
currently include: Palawan (Region IV-B); Siquijor and Cebu (Region
VII); Lanao del Norte and Misamis Oriental (Region X); Compostela
Valley, Davao Oriental and Davao del Norte (Region XI); Surigao del
Sur and Agusan del Sur (Region XIII).
De Quiros said the package offers the Salary Loan Early

Renewal Program (SLERP), which allows current borrowers to renew
their loan ahead of the prescribed schedule. To be eligible, members
must have at least six posted contributions within the past 12
months prior to the month of application.
"Members with sanctions on loan renewal due to their availment

of the SSS condonation program are also allowed to apply for
SLERP, as long as they live or work in a declared calamity area. We
will also waive the one percent service fee under the SLERP," he
said.
The second component of the relief package is the three-month

advance pensions for SSS pensioners in typhoon-affected areas.
Their applications for early pensions must be certified by their local
Barangay Chairman as proof of their residence in a declared
calamity area.
"Since SSS pensions for January 2013 were already released to

our partner banks, pensioners who apply for calamity relief within
December 2012 will get their February to April 2013 pensions in
advance," de Quiros explained. "Those who submit their applications
within January 2013 will receive early their March to May 2013 SSS
pensions."
The package’s last component, which is the two-percent cut in

interest rates for house repair and improvement loans, is open to
members whose homes were destroyed by Typhoon Pablo. The
reduced interest rates per annum are six percent for loans of
P400,000 and below, and seven percent for loans above P400,000 to
P1 million.
"Members must have at least three contributions within the 12-
month period prior to loan application. Aside from the usual
documentary requirements, they must also present a certification
from the barangay, local government unit, NDRRMC, or the
Department of Social Welfare and Development attesting that the
house to be repaired was damaged by Typhoon Pablo," de Quiros
noted.
The deadline for filing of applications for the calamity relief

package for Typhoon Pablo is January 31, 2013 for the advance
release of pensions; March 31, 2013 for SLERP; and December 31,
2013 for the lower interest rate on home repair and improvement
loans. Application forms are available at SSS branches in the
affected regions or may be downloaded from the SSS website.
SSS grants P2-B calamity relief

to members and pensioners in 2012
The Social Security System (SSS) has granted over P2 billion
through its calamity relief programs to about 134,000 affected
members and pensioners all over the country who benefited from the
early renewal of SSS salary loans and advance release of three
months’ worth of pensions in 2012.
SSS President and Chief Executive Officer Emilio de Quiros, Jr.

said the SSS disbursed over P2.1 billion to 108,300 calamity-hit
members through the Salary Loan Early Renewal Program (SLERP),
while 25,500 pensioners received advance pensions of P179.99
million in 2012.
"We expect the number of beneficiaries of our calamity relief

programs to further increase, after the SSS again offered the SLERP
and advance release of pensions to help members and pensioners in
areas recently battered by Typhoon Pablo," de Quiros said.
Early last year, the SSS offered the SLERP and advance release
of pensions in declared calamity areas due to Typhoon Sendong,
which hit the country in December 2011, and reopened the
programs after the southwest monsoon or "habagat" caused
widespread destruction in mid-2012.
The SLERP allows members to renew their loans ahead of the

prescribed schedule. The SSS recorded 9,064 SLERP availments
amounting to P149.02 million after "Sendong," 90 percent of which
was disbursed to members in the badly-hit cities of Cagayan de Oro
and Iligan.
"SLERP loan releases to 99,230 members affected by heavy

monsoon rains reached P1.95 billion," he said. "Moreover, we
granted P159.93 million in advance pensions to 23,722 pensioners
due to ‘Sendong’ and P20.06 million to 1,777 pensioners affected by
the monsoon."
De Quiros said the SLERP and early pension releases are part of
the current Calamity Relief Package for members in "declared and
may be declared calamity areas" by the National Disaster Risk
Reduction and Management Council in the wake of Typhoon Pablo.
SSS’ relief package also provides a two-percentage point cut in

loan interest rates for members seeking funds to repair their homes
damaged by "Pablo," the strongest typhoon that hit the country in
2012 which triggered landslides and flashfloods in southern
Philippines.
"We call on ‘Pablo’-affected members and pensioners to file their

applications so we can immediately process the release of their loan
proceeds and advance pensions. Pensioners who apply within
January 2013 will get their March, April and May 2013 pensions in
advance," he said.
In terms of some calamities that come into our country, Social

Security System doesn’t limit the services they can offer to their
respective members. Even in times of calamities, SSS also offer
special help to their members in recovering the damages done to them
by the typhoons. The SSS programs that they are initiating as of now
was all about the giving of relief to those families affected by typhoon
Pablo that recently affected the Northern Mindanao. The first article
discusses the consideration given by SSS on allowing their members
specially those affected by the typhoon to have their early renewal of
loans, giving the advance 3 month pensions of the members and
having a two-percent cut in housing repair and improvement loans.
“The relief package is extended to members in the "declared and may
be declared" calamity areas identified by the National Disaster Risk
Reduction and Management Council (NDRRMC). The package offers
the Salary Loan Early Renewal Program (SLERP), which allows current
borrowers to renew their loan ahead of the prescribed schedule. To be
eligible, members must have at least six posted contributions within
the past 12 months prior to the month of application. The second
component of the relief package is the three-month advance pensions
for SSS pensioners in typhoon-affected areas. Their applications for
early pensions must be certified by their local Barangay Chairman as
proof of their residence in a declared calamity area. The package’s
last component, which is the two-percent cut in interest rates for
house repair and improvement loans, is open to members whose
homes were destroyed by Typhoon Pablo. The reduced interest rates
per annum are six percent for loans of P400,000 and below, and seven
percent for loans above P400,000 to P1 million.” (SSS President and
Chief Executive Officer Emilio de Quiros, Jr.).
Another given initiative program for the affected members is the

2-B grant calamity reliefs; this grant was given to almost the hundred
thousand members and pensioners of SSS. By having those projects
and program, SSS had truly serve its function to the society, proving
that the agency help promoting the security.The Social Security
System (SSS) has granted over P2 billion through its calamity relief
programs to about 134,000 affected members and pensioners all over
the country who benefited from the early renewal of SSS salary loans
and advance release of three months’ worth of pensions in 2012. SSS
President and Chief Executive Officer Emilio de Quiros, Jr. said the
SSS disbursed over P2.1 billion to 108,300 calamity-hit members
through the Salary Loan Early Renewal Program (SLERP), while
25,500 pensioners received advance pensions of P179.99 million in
2012. Early last year, the SSS offered the SLERP and advance release
of pensions in declared calamity areas due to Typhoon Sendong,
which hit the country in December 2011, and reopened the programs
after the southwest monsoon or "habagat" caused widespread
destruction in mid-2012. SSS’ relief package also provides a two-
percentage point cut in loan interest rates for members seeking funds
to repair their homes damaged by "Pablo," the strongest typhoon that
hit the country in 2012 which triggered landslides and flashfloods in
southern Philippines. "We call on ‘Pablo’-affected members and
pensioners to file their applications so we can immediately process the
release of their loan proceeds and advance pensions. Pensioners who
apply within January 2013 will get their March, April and May 2013
pensions in advance".
Chapter V
Recommendations
Social Security System is an agency that tackles a lot about

money collections. The main and biggest problem of SSS is the
insufficient collection of members’ contribution and the delayed
payment of the members, considering that this is the source of benefit
payments. The SSS should need to enforce payment of their members’
contributions by monitoring employers’ compliance with SSS rules.
The agency should identify the regular and up-to-date members
who contribute and pays their allotted compensation to the company
and create a project that would give them an edge to the other
members that are not paying on time and an exact amount. By doing
this the members would be encourage taking responsibility with their
contributions especially when they see that the agency is taking
serious actions about it and making the members active and treated
fairly depending on their performance on paying their contribution.
In connection with this, there is an urgent need to give
assistance to the branch offices which serve as collecting branches.
Over the million members of SSS, the agency can’t deny the fact that
some of its branches and offices are understaffed. They lack account
officers to monitor the numerous companies they are servicing. There
may be understaffing in the area of collections, even if there is
overstaffing in other administrative departments who do not deliver
direct services. Together with this is the support given to them in
terms of computers which they can use to perform their tasks. If they
spend time waiting for a computer to be used, this causes undue
delay in the performance of their function. In addition, SSS should
give their own employees the needed training for them to be more
effective and efficient by doing this method their services would also
increased in performance and the skill of their own employees would
advance that would give a satisfactory service to the members of SSS.
The use of computers and technology of SSS, like having its own
website, really give them an edge since now days a lot of their
members do not have time to personally when to their offices that is
why having an online payment really give an easy convenience to the
members. SSS should develop more using technologies since it really
makes collections easier and updating their members and informing
them with least effort to be use.
The preceding suggestions are just some of the things SSS can
do to improve operational efficiency. Many others along this line may
be done to streamline the system and improve performance. Account
officers may be able to offer more suggestions on how to improve the
system. It is felt that at this point in time, SSS should not hesitate to
invest in computers which are so necessary for the work done by
account officers. In fact, if there is a choice between the two, it might
be better to invest more in computers before hiring additional people
who are underutilized. And to optimize the benefit from account
officers, they should be given technical training directly on how to
perform their job. Improvement in this area would greatly enhance the
collection of members’ contribution. A lot of savings can be generated
from this, which savings can be used to further improve the system,
either by hiring more account officers and getting the necessary
equipment to implement further improvement.
SSS Management should be selective in hiring qualified people
who can do the job. A major area where competent employees are
needed is in the collection of members’ contributions. Management
may also find creative ways of collecting, like giving incentives to
account officers or using collecting agencies. In the event that this is
done, careful monitoring is needed to make sure all collections go to
the coffers of SSS. This implies that its information system is in place
to identify erring employers and collect from them.
This money collected could also provide a substantial capital
base for investment, the income of which could be used to pay for
benefits. It is even possible that a time would come when the benefits
could be paid out of income from investments instead of coming from
members’ contributions. Another area of concern is the benefit
structure of SSS programs. Benefits should be rationalized. SSS
cannot indefinitely increase benefits without collecting members’
contributions. There should be a moratorium on benefit increases in
the meantime while SSS is shoring up its reserves.
Finally, privatization of the agency might also be a great
solution to the lack of financial support of the institution. This was a
solution suggested by the World Bank. Political appointees can be
minimized and a board which is answerable to stakeholders/
members can be better disciplined than management beholden to
politicians. Perhaps the conversion of SSS from a government-owned
corporation into a member-owned corporation, managed by a board
and run by professional managers appointed by its members would be
a good start to improve its operations. The members can appoint a
board and managers are accountable to them instead of having
directors who are accountable to the president of the Philippines. The
combination of the above solutions – monitoring of employees’ and
employers’ contributions, increasing revenues and decreasing
expenses, can lead the Social Security System back to its long term
existence which would benefit its members, especially the poorer
members of our society.
Chapter VI
Conclusion
Social Security System as one of the agency of the Government in

running the country has finds its way to purposely do its reason of
existence. Despite of some of its shortcomings in running the agency
the administration of the said agency has done its job to promote and
responsively answer the need of the citizen of the country in securing
social justice and protecting the members from hazards of disability,
sickness, maternity, old age, death and other contingencies that may
result in loss their income or financial burden by the use of their
monetary contribution of the members either a compulsory or
voluntary.
In the terms of the structure of the SSS, the method of
centralization in administering the agency would probably suffice the
need of the agency in a sense that the agency is not an ordinary
agency that focused only on helping in one sector of the society but of
all the diverse sector of it. Caring out the financial security of its
members, it is a due to have such method in running the agency
having all its rules and proceedings for the approval of its central
government for monetary transactions is truly a big thing to transact
with.
As this study further exposes the Office of SSS, it concludes that
the said office had done a lot to further improve its services for the
satisfaction of its members and the mandate of the State. Truly the
government just had done its job to strengthen the nation’s economy
and stability through securing its citizen from the possible harm and
incidents that may happen from the present years and to the coming
years of the country.
References:
http://www.scribd.com/doc/11288170/Social-Security-System
http://dirp4.pids.gov.ph/ris/pjd/pidspjd09-2socialinsurance.pdf
https://digital.lib.washington.edu/dspace-
law/bitstream/handle/1773.1/729/12PacRimLPolyJ403.pdf?se
quence=1
http://www.yugatech.com/sss-philippines-social-security-system/
http://www.sss.gov.ph.com

Sss Case Study (Final)

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Sss Case Study (Final)

Uploaded by

Copyright:

Available Formats

THE REVIEW ON THE OFFICE OF THE

SOCIAL SECURITY SYSTEM

In Partial Fulfillment of the Requirement

This study aims to:

 Promote information through research that can help other

Statement of the Problem:

The purpose of this study is to further understand the nature,

 What is the structure of the Office of the Social Security System?

The Social Security Commission was first establish on July 7,

However, its implementation was subjected by a lot of objection

On September 1, 1957 when the Social Security Act of 1954 or

Under SSS there were two programs that was administered by

During the reign of President Fidel V. Ramos, Republic Act 8282

Nature and Scope

The Philippine Social Security System or SSS is a government

It is mandated under Section 2, RA 8282 in which it states that:

Its vision centers to develop and promote a viable, universal and

The Social Security System aims to institutionalize a corporate

The Social Security System hereinafter referred to as "SSS", a

Social Security Commission:

3 Appointed Member 3 Appointed Member 1 Appointed Member

The six (6) members representing workers and employers shall

The general conduct of the operations and management

Power and Function of SSS

The SSS is working hard to extend social security protection to

The SSS administers two programs namely:

 The Social Security Program (it provides replacement income for

 The Employee’s Compensation Program (it provides double

It is the policy of the State to establish, develop, promote and

January - June 2011

TOTAL BENEFITS P 2,098,961

Social Security P 2,061,051

Retirement* 20,518.36 825,425

Death* 14,162.83 756,680

Disability* 1,686.73 86,335

Maternity 1,887.05 103,467

Sickness 914.62 226,177

Funeral Grant 1,315.96 62,967

Employees' P 544.77 37,910

Death* 409.66 18,146

Disability* 60.07 2,337

Sickness 54.35 14,954

Medical Services 18.70 2,271

Funeral Grant 1.99 202

As of March 2011 1,593,352

]Social Security 1,573,667

Retirement 789,457 P 3,345

Death 722,059 2,692

Disability 62,151 3,115

Death 17,944 P 3,335

Disability 1,741 3,806

Through Banks 1,575,348 98.9%

Mailed Checks 18,004 1.1%

Investment and Assets:

Government Securities P 107,193.08 35.9%

Equities 88,910.07 29.7%

Member Loans 62,674.57 21.0%

Bank Deposits 15,554.87 5.2%

Corporate Notes and Bonds 11,898.28 4.0%

Real Estate 12,696.21 4.2%

TOTAL INVESTMENTS P 298,927.08

AVERAGE RETURN ON 8.4%

TOTAL ASSETS P314,605.16

January - June 2011