Velasco seeks power for President to suspend PhilHealth, SSS premium hike

Speaker Lord Allan Velasco on Thursday filed two separate measures seeking to grant the President the authority to suspend the scheduled increases in PhilHealth and Social Security System contribution rates in "times of national emergencies."

In House Bills 8316 and 8317, Velasco sought to amend the Universal Health Care (UHC) Act and The Social Security Act (SSA) of 2018 which provide for the gradual increases in the monthly premium contributions of PhilHealth and SSS members.

The Social Security Act of 2018, which was passed to ensure the long-term viability of the SSS' fund life, mandates a 1% increase in the contribution of its members this year, bringing the monthly contribution rate to 13%.

Meanwhile, under the Universal Health Care (UHC) law, premium contributions to PhilHealth will increase to increments of 0.5% every year, starting 2021 until it reaches the 5% limit in 2025.

For 2021, the increase in the contribution rate would be from the current 3% of the monthly basic salary of the member to 3.5%.

Under the two bills, the President, in consultation with the Secretaries of Health and Finance as chairpersons of PhilHealth and SSS, respectively, may "suspend the implementation of the scheduled increases in premium rates in times of national emergencies when public interest so requires.”

Velasco said that while PhilHealth, in adjusting the contribution rate, only aims to implement the provisions in the UHC Law, "imposing a higher premium rate to our kababayans under our current conditions will definitely enforce a new round of financial burden to its members."

“Suspending the imposition of the new PhilHealth premium rates will provide a much-needed relief from the negative effects of the pandemic and will assure Filipinos that the government is sensitive to their sentiments,” he added.

Meanwhile, Velasco said the temporary suspension of the SSS contribution hike will allow the Filipino workforce to recover faster from the impact of the COVID-19 pandemic.

Despite the good intention of the scheduled increases in SSS contribution rates under the SSA, he said it must be suspended as the country faces a national public health emergency.

“We are witnesses to the negative impact of this COVID-19 outbreak. Under this pretext, the sovereign government must be given the prerogative to bend the rules of the social security law in favor of the greater good,” he said.

"[The SSS contribution rate hike will] strikingly undermine the recovery effort of everyone suffering from job losses, wage reduction, business closures, and health-related issues," he added.

Earlier, the Makabayan Bloc filed two measures removing the automatic increase in the contributions of SSS and of PhilHealth under SSA and UHC Law, respectively.

Apart from these measures, the Makabayan Bloc also filed a joint resolution calling for the immediate suspension of the PhilHealth premium rate hike for 2021 amid the COVID-19 pandemic.

A separate joint resolution, which also calls for the deferment of the PhilHealth premium rate hike, was also filed by 54 lawmakers in the House across party lines.

President Rodrigo Duterte has already ordered the deferment of the PhilHealth contribution rate hike, there would be no increase in contributions amid the pandemic. —LBG, GMA News