On Wednesday, Malacanang confirmed approval of the initial release of P1,000 pension hike for Social Security System beneficiaries.The palace nod signals the fund administrator can release the promised P1,000 hike beginning Mach 2017 and retroactive covering from the month of January this year.
According to the SSS, the schedule of release will follow the timetable below:
The succeeding P1,000 for the next months, beginning April 2017 will be incorporated in the regular pension issuance.
The approval of pension increase and release will have a positive impact for the pensioners, more so with those receiving the bare minimum.
It also signals the increase in SSS contribution of current members to 12.5 per cent per month starting May 2017, an increase of 1.5% of their curent collected contributions.
The hike will mean an increase in contributions of SSS members to 12.5% beginning May, from the current 11%.
The second tranche of P1,000 pension hike should happen on 2022.
It must be recalled that candidate for president Rodrigo Duterte made part of his campaign promise during the May 2016 election the pension hike of P2,000 if elected while outgoing President Benigno S. Aquino, III summarily rejected the proposal.