On 1 May 2025, in celebration of Araw ng mga Manggagawa, His Excellency President Ferdinand R. Marcos Jr., in his Labor Day message at the SMX Convention Center in Pasay City, announced significant enhancements to the Social Security System’s (SSS) loan programs. These reforms aim to recognize and support hardworking Filipinos—both local and overseas—through improved access to financial assistance and more inclusive benefits.
Lower Interest Rates for Salary and Calamity Loans
SSS President and Chief Executive Officer Robert Joseph M. De Claro confirmed the reduction of interest rates for salary and calamity loans, approved by the Social Security Commission chaired by Finance Secretary Ralph G. Recto. Effective July 2025:
Salary loan interest rate will decrease from 10% to 8%
Calamity loan interest rate will decrease from 10% to 7%
These new rates apply to members with good credit standing—specifically, those without penalty condonation availments in the past five years—thereby maximizing loan proceeds and encouraging responsible borrowing behavior.
Expanded Pension Loan Program for Surviving Spouse Pensioners
Since its launch in 2018, the Pension Loan Program (PLP) has provided reliable financial support for retiree pensioners. Building on its success, SSS will extend this program to surviving spouse pensioners, who currently number approximately 1.2 million as of December 2024. The revised PLP will offer:
Loan amounts up to Php 150,000
Credit Life Insurance coverage to ensure full loan settlement in the event of the borrower’s death during the loan term
This expanded program is set for implementation in September 2025.
Micro-Credit Loan Facility in Development
To address short-term financial needs, SSS is working with partner financial institutions to design a micro-credit loan facility with repayment terms ranging from 15 to 90 days. De Claro noted that the SSS is still finalizing the framework but aims for prompt implementation once feasibility is established.
Continued Commitment to Service Excellence
“These enhancements are our way of honoring Filipino workers on Labor Day,” said De Claro. “We remain dedicated to service excellence through meaningful program innovations.”
Looking ahead, SSS is exploring the rollout of livelihood loans, as authorized under Republic Act No. 11199 or the Social Security Act of 2018. This initiative will particularly benefit sectors such as transport, aligning with the Marcos administration’s broader poverty alleviation agenda.
SSS is also collaborating with the Department of Information and Communications Technology (DICT) for digital transformation, PhilHealth for data integration, and engaging various industries—such as mining, construction, BPO, and the gig economy—for tailored service improvements.