Even without looking up labor statistics, it is easy to see that the Philippines has a large pool of workers belonging to the informal economy. These own-account or self-employed workers providing small-scale goods and services comprise up to three-fourths of the local labor population, based on World Bank data. Many of them come from rural areas, but even urban regions have their fair share of informal-sector workers, such as public-transport workers and market vendors, to name a few.
To recognize the importance of the informally employed individuals, the Department of Labor and Employment commemorates an annual labor-day celebration for workers in the informal economy. This year’s event was held on May 18 at the Occupational Safety and Health Center in Quezon City, with the theme “Pagyamanin ang Kaalaman Tungo sa Maunlad at Disenteng Kabuhayan.” The event aimed to intensify efforts to address the needs of informal-sector workers, such as providing them with decent livelihood and access to technical knowledge.
It also featured informal-sector workers who narrated their personal success stories to inspire others and help them to become more actively involved in the pursuit of inclusive growth. Meanwhile, informal-sector leaders shared their invaluable knowledge on workers’ rights and privileges, as well as their insights on how to significantly contribute toward societal development. It was clear that they have innovated ways to expand their networks to further bolster and sustain programs initiated by various government agencies and civil-society organizations.
From a silent segment of the work force, the informal sector is evolving as a group of individuals that is more organized and cohesive to give it a louder voice. After all, it is a sad reality that informal-sector workers are exposed to all sorts of vulnerabilities, such as loss of income, unemployment and other contingencies. Thus, it is imperative that the government should constantly support them by providing access to essential health services, nutrition, education and care for their families, and social security.
On its part, the Social Security System (SSS) has responded to the growing clamor of advancing the welfare of informal-sector workers through the nationwide launching of AlkanSSSya Program in 2012. This microsavings scheme enables informal-sector workers to be regular SSS members by providing them a system for habitually saving part of their daily income—specifically at least P11 per day—to complete their minimum SSS contribution of P330 per month. With this strategy, workers gain a more secure future for themselves and their families for they can rely on SSS benefits and privileges during times of contingencies.
So far, the AlkanSSSya Program has covered over 1,300 associations of transport groups, job order and contractual workers, barangay employees and tanod, market vendors, farmers and fisherfolk, jail inmates, garbage pickers and other types of workers, with the number of covered members reaching nearly 120,000.
Cooperatives and microfinance institutions were also tapped by the SSS in providing social-security protection to informal-sector workers in rural and far-flung locations through the SSS Partner Agent (PA) Accreditation Program. Servicing or noncollecting partner-agents (PAs)are allowed to screen and receive members’ applications for SSS registration, salary loans and funeral-benefits claims. Meanwhile, collecting PAs are authorized to collect SSS contributions, loan amortizations and other miscellaneous payments from its clients and members who are covered by the SSS.
As a result, these partnerships opened up new channels for SSS coverage and collections, and helped these organized groups generate extra income from their activities as accredited PAs, since they earn P4 to P6 in service fees for every processed application and transaction. The accreditation program is continuously expanding with about 30 PAs to date, with total collections already past the P20-million mark.
As it works toward increasing access to social security protection, the SSS sincerely hopes that informal-sector workers enjoy income from more lucrative and more stable livelihoods, as well as their well-deserved benefits as duly covered and actively paying SSS members.
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For more details on SSS programs, members can drop by the nearest SSS branch, visit the SSS web site (www.sss.gov.ph), or contact the SSS Call Center at 920-6446 to 55, which accepts calls from 7 a.m. on Mondays all the way to 7 a.m. on Saturdays.
Susie G. Bugante is the vice president for public affairs and special events of the SSS. Send comments about this column to susiebugante.bmirror@gmail.com.