The Duterte administration is vigorously pursuing an improved benefit system for Filipino workers both here and abroad. Just recently, the Social Security System (SSS) thru its Chairman Amador Valdez had announced their study of the feasibility of the Unemployment Insurance. Similarly the Chairman of the House of Committee on Overseas Filipino Workers, Jesulito Manalo has introduced a bill for the creation of an OFW oriented sovereign fund.
OFW-oriented Sovereign Fund Helps Your Money Grow
Investments are definitely an option to help anyone grow their money over time, for that very reason, the chairman of the House Committee on Overseas Workers Affairs is pushing for the creation of an OFW-oriented sovereign fund.
Since OFWs contribute to the country’s economy by sending a large amount of remittances every year, the government is exploring other means to help OFWs utilize their money better, and in the process, also help the government programs or projects and to introduce a new revenue-generation mechanism for the country.
Manalo said the proposal should encourage OFWs to invest a part of their income or cash remittances in a pool under a special fund.
“Similar to Treasury bills or bonds, but under a special fund devised solely for OFWs’ enjoyment, wherein they can invest their monies with the government through a program to be created by the Bureau of Treasury [BTr], ideally for a higher return, better tax incentives and with lesser risks than in regular banks,” he added.
All OFWs and their immediate family members can make investments. And these investments shall be lodged to fund key projects. But before that the Bureau of Treasury (BTr) will notify and educate the OFWs and their family about proper investments measures.
Investments will fund projects that include the purchase or the establishment by the government of strong cash-generating private or government corporations involved in the downstream petroleum industry, electric power generation, transmission and distribution industry, information and communications technology industry and other strong cash-generating enterprises to wean away the government from its reliance on taxes and fees as main source of funding.
The Implementing Rules and Regulations will be formulated by the treasurer of the Philippines collaboration with the House Committee on Overseas Workers Affairs and the Senate Committee on Labor, Employment and Human Resources Development.
Unemployment Insurance Program in the Age of Robots
The Social Security System has still got you covered even if you’re unemployed or waiting for other opportunities. SSS is proposing the inclusion of unemployment insurance benefit for its more than 35 million members as part of its proposed SS Reform Act of 2017, said Social Security Commission Chairman Amado D. Valdez.
“The partnership between private insurance companies and the SSS will ensure that SSS members who are unemployed, without fault on their own, will be given the necessary benefits to cover for situations where no employment is available,” Chairman Valdez said. The insurance that you are saving up for while you were employed will eventually be of use to you when you leave the company.
Although, some areas should be looked into like coverage protection, the qualifying conditions to the program, the duration of the benefit, and the type and level of benefit; nonetheless the International Labor Organization (ILO), Department of Labor and Employment, Insurance Commission (IC) and Insular Life approved of this proposal in recently conducted meeting.
With the advent of advanced technology, it can be likely that the human labor force will be replaced by artificial intelligence (AIs). The SSS fears that this will become a problem for both the employees and the agency, which is why the unemployment insurance will give you enough funds to learn new skills to become more employable.
“What’s in it for SSS? When you are working, there is contribution, there are savings. If you are not working, that’s the time SSS will suffer and die. So there is really a synergy in what we are doing. The contributions you make will take care of you at a time that you need it most,” Chairman Valdez said.
Kabayan, definitely money doesn’t grow on trees and we all have to do our best to save up for our family and out future. Such projects will definitely be of aid come the time of your financial drought.
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