New Law for all Overseas Filipino Workers

Hello to all of our Filipino fans, don’t know if it is good or bad news but it is confirmed and now mandatory for all overseas Filipino workers (OFWs) to make monthly contributions for their social security system Philippines which is also known as sss Philippines that will entitle them to a pension fund and other benefits under a new law.

An estimated 600,000 to approximately 1 million Filipinos work in the UAE and it is now mandatory for all of them to pay SSS (Social Security System).

President Rodrigo Duterte recently signed into law Senate Bill 1753, or the “Social Security Act of 2018”, which widens the scope of the Social Security System (SSS), extending it to all OFWs around the world. The actual date of implementation, however, and its specific details have yet to be released through the Implementing Rules and Regulations (IRR).

Currently, only around 500,000 OFWs are covered by SSS since contributions are voluntary. With the new law, SSS membership of OFWs could increase to 2.5 million people.

Mark Roue Oliva, the SSS Representative in Dubai, said the government-run provident fund will benefit both land-based and sea-based OFWs, including those in the UAE.

“Because contributions were voluntary for OFWs in the old law, most OFWs, majority of who are from the Middle East, forget to contribute. So once they retire, they are not qualified to get pension from SSS,”

In Dubai, more than 7,000 Filipinos paid their premium last January 2018.

But the average contributors for 2018 for Dubai and the northern emirates were just 4,800.

Benefits of SSS:

All SSS benefits enjoyed by members in the Philippines such as lifetime pension and other benefits such as salary loan, sickness, retirement, maternity, disability, death, funeral are also being received by OFWs in the UAE said Mark Roue Oliva.

The benefits vary depending on the monthly contributions. For those paying the maximum amount based on the old law of 1,750 pesos (Dh126) per month, for example, they receive a maximum maternity benefit for caesarean amounting to 41,600 pesos. For normal delivery, the benefit is 32,000 pesos.

Those with minimum contribution of 550 pesos get 10,000 pesos as benefit for normal delivery, and 13,000 pesos for caesarean.


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