MANILA – The government’s planned transfer of P43 billion in unprogrammed appropriations from the 2025 budget to fund various projects has raised concerns over its potential impact on workers’ benefits under the Social Security System (SSS), Government Service Insurance System (GSIS), and Philippine Health Insurance Corporation (PhilHealth). Critics, including labor groups and lawmakers, warn that the move—part of broader budget realignments—could delay or reduce contributions, payouts, or services for millions of members.
The funds, originally earmarked for contingencies, are being redirected amid revenue shortfalls and priority shifts. Key affected areas:
- SSS & GSIS: Possible delays in pension adjustments or contribution subsidies for informal sector workers.
- PhilHealth: Reduced support for universal health coverage expansions, affecting premium subsidies for indigent members.
Labor leaders from the Trade Union Congress of the Philippines (TUCP) called the transfer “short-sighted,” arguing it prioritizes infrastructure over social safety nets. “Workers’ hard-earned contributions deserve protection—this risks eroding benefits when they’re needed most,” a TUCP spokesperson said.
Malacañang defended the realignment as necessary for “high-impact” programs, assuring no direct cuts to statutory benefits. The Department of Budget and Management (DBM) is expected to issue guidelines soon.
This controversy adds to ongoing debates on fiscal priorities as the 2026 budget takes shape.
Fund Transfer Snapshot:
| Agency/Program | Potential Impact |
|---|---|
| SSS/GSIS | Delayed pension hikes or subsidies |
| PhilHealth | Reduced indigent coverage support |
| Total Amount | P43 billion (unprogrammed 2025 funds) |