Manila: The Supreme Court (SC) has declared as unconstitutional a provision of the 2018 Social Security System (SSS) Act that requires overseas Filipino workers (OFWs) to pay their contributions in advance before they are allowed to leave the country.
According to Philippines News Agency, in a 40-page decision, the SC En Banc ruled that 'Rule 14, Section 7(iii) of the Implementing Rules and Regulations of Republic Act (RA) No. 11199 is declared unconstitutional for being contrary to Sections 1 and 6 of Article III of the Constitution.'
RA 11198 (Social Security Act), signed into law by former president Rodrigo Duterte, compels all land-based OFWs to enroll and pay contributions to SSS as self-employed members, pay the employer's share in contributions and pay in advance three months' worth in SSS contributions before being issued their Overseas Employment Contracts.
The SC stated that enforcing compulsory coverage of land-based OFWs through the issuance of Overseas Employment Contracts (OEC) is oppressive, unreasonable, and violates the Constitution. It highlighted that the provision undermines the mandate of the constitution to protect the rights of overseas workers and to promote their welfare.
The decision aligns with a 2019 petition by civil rights group Migrante International and Bayan Muna party-list, arguing that the requirement intrudes on the right to travel. The court emphasized that demanding advance SSS contributions as a precondition for obtaining their OEC effectively deprives OFWs of their right to travel and, consequently, their livelihood.
The Social Security System, the Philippine Overseas Employment Administration, and the Department of Labor and Employment have been permanently enjoined from implementing this unconstitutional provision.