Marcos backs historic SSS pension hike: ‘We can afford it’

Metro Manila, Philippines - President Ferdinand R. Marcos Jr. on Wednesday welcomed the Social Security System’s (SSS) newly approved three-year pension reform program, calling it a long-overdue response to retirees’ needs and a fiscally sound step that reflects the country’s growing economic capacity.

“Well, that’s fine because the SSS is growing anyway. Our population is growing. Our working population is growing. So ‘yun ang bawi doon,” the president said during a media interview.

[Translation: That’s the offset - our working base is expanding.]

The president made the remarks after the SSS formally announced that it will implement a structured, multi-year pension increase beginning in September, to benefit more than 3.8 million pensioners.

The move comes following discussions between Marcos and Finance Secretary Ralph Recto, also chairman of the Social Security Commission, which approved the reform under Resolution 340-s. 2025.

The reform is backed by comprehensive actuarial studies to ensure long-term fund stability.

In a podcast interview released on Wednesday, Marcos dismissed concerns that the increase would endanger the SSS fund, even as the agency acknowledged a slight reduction in fund life from 2053 to 2049.

“Basta’t ‘yung pera ng Pilipinas ay ginagamit sa tamang paraan… mayroon tayo,” Marcos said.

[Translation: As long as public funds are used properly, we’ll have enough.]

He said responsible borrowing and social investments like pension must be viewed as long-term commitments that generate economic returns.

SSS President and CEO Robert Joseph de Claro said the pension reform program is a landmark move and the first of its kind in the institution’s 68-year history. It will not require an increase in member contributions - a sharp contrast to previous adjustments that required rate hikes.

“We’ve heard the clamor for higher pensions loud and clear,” said De Claro. “We are rolling out a rational and sustainable pension increase that uplifts all pensioners without compromising the fund’s actuarial soundness.”

SSS estimates show that the reform will inject ₱92.8 billion into the economy in two years.

NewsWatch Plus Lead Correspondent Tristan Nodalo contributed to this report.