THE tragic Kentex slipper-factory fire in Valenzuela City, which snuffed out some 72 lives as of the latest count, was clearly a result of corporate greed and is a painful eye-opener to many. It is said to be the third-worst fire incident in Philippine history—the worst being the Ozone Disco club fire in 1996 that killed 162 people, followed by the Manor hotel fire in 2001 that claimed 75 lives, both in Quezon City.
With so many workers who perished in the fire, it was but natural to find out if there was any form of insurance for them. Were they reported to the Social Security System (SSS) for coverage? What about Employees’ Compensation (EC) benefits, since they died or were injured while working in the factory? These are some of the questions that cropped up in the wake of the unfortunate incident.
Based on the initial inquiry into the records of Kentex Manufacturing Corp. and its manpower agency CJC Manpower Services, their compliance to SSS rules appears spotty. Of the regular Kentex employees who died in the fire, a few had valid contributions, while most didn’t have updated contributions. CJC Manpower Services, on the other hand, had about a dozen employees who were reported to the SSS for coverage, while some 42 others had no records of being reported for coverage.
Given these miserable circumstances, what recourse do the families and beneficiaries of the deceased members have? Will they still be able to claim some benefits?
Definitely, yes! For as long as it can be established that there was an employer-employee relationship between workers who died and the company that they worked for, even if they were not reported for coverage to the SSS by their employers or that their contributions are delayed, their beneficiaries are entitled to receive social security and EC death and funeral benefits. The same is true for workers who were merely injured or got sick. They, too, could file for sickness or disability benefits even if their employers did not remit their contributions to the SSS. They will still be entitled to the benefits. Their employers will be held liable for violating the SSS law, and will be required to pay the unremitted contributions plus penalties. In instances wherein the employee’s shares of contributions were deducted but were not remitted to the SSS, the employer will be criminally liable for estafa, and that means a jail term.
The SSS, in an advisory to the public, said it will set up a Help Desk at the Valenzuela City Hall today, May 20, to assist the families of the victims of fire that ravaged a factory in the city last Wednesday. The SSS Help Desk will be at the audiovisual room and will be open from 8 a.m. to 5 p.m. Beneficiaries are advised to bring pertinent documents, such as payslips or employment contracts of the deceased members and their (the beneficiaries’) valid IDs, when filing their SSS claims. For employees who were injured from the accident, they should present their medical certificates.
Survivors of deceased members, who had been identified and been issued death certificates, may claim funeral grants of P20,000 each from both the social security and EC programs the deaths of the members are deemed work-related. The same is true with the death-benefit claims.
This sad incident that, so far, claimed 72 lives should be a lesson to all, including government regulatory and law-enforcement agencies, and, most especially, to business owners, who should remember that it is always better to be on the good side of the law. Fire-protection and occupational-safety laws were put in place to ensure the protection and safety of lives and property. Social-protection laws were passed to provide economic safety nets to workers. It is cheaper and, therefore, makes good business sense to abide with these laws than to pay penalties and serve jail terms.
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For more information about the SSS and its programs, call our 24-hour call center at (632) 920-6446 to 55, Monday to Friday, or send an e-mail to member_relations@sss.gov.ph.
Susie G. Bugante is the vice president for public affairs and special events of the Social Security System. Send comments about this column to susiebugante.bmirror@gmail.com.