In his Oct. 28 column, Raul Pangalangan spoke of social insurance and its role in reducing corruption at the level of the bureaucratic rank and file. The Citizens’ Battle Against Corruption (Cibac) Party List agrees with him—and offers additional views.
Social insurance is aimed at protecting workers and their families from unforeseen threats related to their financial, health and job security. It is enshrined in Article 22 and 25 of the Universal Declaration of Human Rights, and Article 9 of the International Covenant on Economic, Social and Cultural Rights. Although these are not legally binding instruments, they measure the extent in which countries set up safety nets for their workers.
The Philippines, like any other developing country, has a social insurance constrained by a number of factors, such as limited revenues and a large informal sector. As such, it covers only about 28 percent (below the Asean average) of its working population from public and private sectors.
Several studies undertaken by different organizations reveal a number of challenges.
First and paramount is the fitness of social security providers. There should be greater professionalism for a more efficient delivery of services in these entities. The country has one of the highest administrative costs in terms of managing social security systems. Moreover, transparency and accountability are issues requiring serious improvement.
Second are systemic reforms toward protecting pensioners’ funds and broadening coverage while promoting compliance. Included are steps toward ensuring the sustainability of benefit schemes that are largely non-contributory.
Third is the sustainable management of investment portfolios and the depoliticization of provider organizations. There is a need to balance the use of insurance funds for development with the weal of pensioners. Too often, politicians dip their hands into these funds for political largesse.
In addition, we should improve not only the social insurance coverage of government workers, but also that of workers in the private and informal sector. Corruption is not limited to the government bureaucracy, it permeates the entire bowels of society. A strong private sector workers’ moral fabric would deter them from aiding and abetting corruption when they deal with government. A more responsive and credible safety net would reduce corruption.
Improving our social security would mean that we have addressed the “need” in the “need and greed” causes of graft and corruption. It will significantly reduce our government workers’ worries and insecurities with regard to accidents, diseases, unemployment and old age.
However, despite addressing the “need,” I fully agree with
Pangalangan that social insurance will not stop the truly greedy in government. For the big fish, more money merely whets and does not suppress the craving for even more money.
The new Ombudsman should focus on them!
—REP. SHERWIN TUGNA,
Citizens’ Battle Against Corruption (Cibac) Party List