Some of my workers would personally request that no SSS deductions be made against their earnings. I fully understand their wish, for the little they earn would be rendered even smaller by deductions which they think have no immediate benefit to them. I respect these decisions but unknown to them, I pay for their contributions anyway — from my own pocket.
It must have been foresight that led me to insist and persist on SSS payments.
I had this disgruntled employee who filed a labor case against us with the Department of Labor. This former worker lost his house during a flash flood in Antipolo and sought our help in putting his home and life back to normal. We actually put up the cash to help him, but what we got in return was lawsuit seeking additional compensation and allegations of non-deduction of SSS contributions.
Because I had been paying contributions all the this time (both the employee and employer parts), I surprised this complainant with a copy of the remittances made on his behalf.
The case dragged on for three years. I knew we were on the right side of the law, but I was concerned that other workers might follow the sad example set by this one distressed co-worker. It proved to be an unfounded worry. In response to the thorny labor problems, we instituted a policy of full documentation of every employee from the day he applied in the company to the final day of his employment with us.
So, when employees request ‘no deductions, please’ think hard, think many times.
Catmar Shoes, Marikina City