The employer must register deduct and remit the contribution of the employees.

7.5 % of the contributions could be spent for administrative operations – UHCL

12% - SSS LAW

PAGIBIG LAW – savings system

Provident savings fund – to form the total accumulated value

The housing programs-Home mutual development fund

Objectives:
- improvement of quality of life

-shelter

-nationwide providence savings systems

MEMBERS are the employees

Beneficiaries – those entitled to receive

100 pesos contribution monthly

Covered members SSS and GSIS, uniformed members PNP BJMP BFP

20 years -240 monthly contributions at the time of maturity

after 15 yrs of continuous contribution, he may withdraw. Although his membership will still continue
maturity

Death

Retirement

Permanent total disability

Termination of employment

Membership is merely suspended when you are terminated from work.

Dividends 70%

Tax free

RETIREMENT – IS A BILATERAL ACT

GR: AT THE OPTION OF THE EMPLOYEE

EX: 60 yrs of age or more optional retirement age that employee has served atleast 5 years in that
establishment
65 yrs old compulsory retirement age benefits
WHAT GOVERNS THE RETIREMENT BENEFITS: IT IS THE AGREEMENT OF THE PARTIES (BILATERAL ACT)

What if no CBA or agreement? – ART 302 of the Labor code shall govern

What is the legal basis – ART 302 of the labor code CBA of employment contract the employee shall be
entitled to receive the benefits

ART 302. retirement

Can the employee retire even he is not 60?

YES
Can the employee retire even if he has not worked for atleast 5 years

Covers all employees at the private sector, regardless of position, designation or status.

IF THERE IS A CBA CONTRACT OR RETIREMENT PLAN. IT SHALL GOVERN

22.5 DAYS OF SERVICE

REQUIREMENT AS TO AGE

REQ AS TO SERVICE

THESE BENEFITS ARE SEPARATE AND DISTINCT FROM THE RETIREMENT BENEFITS FROM GSIS AND SSS

RETIREMENT BENEFIT UNDER THE LABOR CODE