Published — June 18, 2021
The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of your own lawyer to address your legal concerns, if any.
Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.
You may also read: WHO SHOULD REGISTER AS A MEMBER OF SOCIAL SECURITY SYSTEM?
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A spouse of a member of Social Security System (SSS) who devotes full time to managing the household may register as a member of the SSS
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An employee who was separated from employment may continue paying his contribution
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A voluntary member (VM) shall pay his or her contribution in accordance with the guidelines on payment deadline applicable to self-employed members
Previously, we wrote about who should register as a member of Social Security System. This time, let us talk about those who are not required by law to register as members of the SSS. Who then may register as a member of the SSS?
The law says:
The following may be covered by the SSS on a voluntary basis:
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A spouse of a member of SSS who devotes full time to managing the household and family affairs, but does not engage in other vocation or employment which is subject to compulsory or mandatory coverage;
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An Overseas Filipino Worker (OFW) upon the termination of his or her employment overseas;
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A covered employee who was separated from employment who continues to pay his or her contributions;
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A self-employed member who realizes no income in any given month who continues to pay his or her contributions; and
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Filipino permanent migrants, including Filipino immigrants, permanent residents and naturalized citizens of their host countries.
For a better understanding, let us take the case of Leonarda Jamago Salabe vs. Social Security Commission et.al, G.R. No. 223018, August 27, 2020.
In this case, Leonarda worked as a helper in the carinderia of Ana. By virtue of this employment, Ana registered her for social security purposes. Thus, she became a member of the SSS.
After her employment with Ana, she continued her membership with SSS as a voluntary paying member and diligently paid her monthly premiums for a total of one hundred thirty-seven (137) contributions.
In 1993, when she reached the age of sixty (60), she filed an application for retirement benefits with the SSS which got approved. However, sometime in 2001, SSS suddenly and unilaterally terminated her monthly pension on the ground that Leonarda’s voluntary membership after separation from employment with cancelled employer was invalid.
Leonarda thus asked to be declared an employee of Ana (her employer where she worked as a helper in the latter’s carinderia), and that her retirement pension be restored.
May the retirement pension of Leonarda be restored?
The Supreme Court said:
Yes.
Ana’s positive act of registering Leonarda under the SSS was an admission or acknowledgment of the employer-employee relationship between them. Even if the Supreme Court rules that Leonarda was never an employee of Ana, such would not necessarily entail the invalidity of all her contributions. For Leonarda may be placed under the category “self-employed” pursuant to the liberality rule. In fact, she may even be considered as a voluntary paying member.
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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