By Tracy Cabrera
The Social Security System (SSS) has warned five Pasay City-based private firms for allegedly pocketing employees’ monthly mandatory contributions, stressing that they could face stiff fines, imprisonment and penalties for the violations.
Citing leniency in view of their first infraction, the SSS gave the unnamed companies 15 days to settle some ₱3.19 million in unremitted workers’ contributions and accumulated penalties at the SSS Pasay-CCP Complex Branch.
In its notices of violation to the five firms, the SSS strongly noted that failure to comply within the prescribed period could lead to criminal charges.
Based on records, the five employers failed to remit around ₱1.14 million in workers’ contributions and ₱2.05 million in penalties for their failure to remit monthly contributions under the Social Security Act of 2018.
Among the companies which were ordered to pay up are engaged in management consultancy, restaurant, real estate, car wash and gambling and betting operations.
The restaurant recorded the highest delinquency amounting to ₱2.25 million—₱739,000 in unpaid workers’ SSS contributions and ₱1.51 million in penalties for failure to remit deductions made from the salary of its 35 employees.
“Every employer is required by law to deduct and remit social security contributions on behalf of their employees. Failure to do so not only violates the law but also deprives workers of their rightful benefits,” read part of the SSS warning.
The delinquencies were found during a Run After Contribution Evaders (RACE) operation on September 29, 2026.
Under the Social Security Act, employers are mandated to report their employees to SSS and remit the corresponding monthly contributions. Failure to comply translates to penalties from ₱5,000 to ₱20,000—on top of jail time of six years and one day to 12 years.
Employers are also required to keep records current, as failure to do so will disqualify members from claiming SSS benefits or applying for loan programs.
“For example, an SSS member was hospitalized for ten days due to an illness. Suppose their employer is not remitting the SSS contributions. In that case, they will be unqualified to receive sickness benefits from SSS because one of the requirements of the said benefit is to have recency in contributions,” SSS senior vice president for NCR Operations Group Benjamin Dolindo Jr. cited.
