Small Business Wage Subsidy (SBWS) Program

This Outsourcing Alert is issued to inform all workers of small businesses affected by the Enhanced Community Quarantine (ECQ) entitled to the government’s wage subsidy program.

The Department of Finance (DOF) will provide a monthly cash assistance from P5,000 to P8,000 based on the monthly regional minimum wage for two months to qualified employees.

A. ELIGIBILITY

Who are eligible?

Small business who are:

  • compliant with BIR and SSS regulations
  • not listed in BIR’s Large Taxpayers Service
  • temporary closed / suspended operations or required to operate only with skeletal workforce

Worker who are:

  • employee of an eligible small business (regular, probationary, regular seasonal, project based, fixed term) and certified by the employer
  • an active employee of the small business until March 1, 2020 and did not receive wage for two weeks or more due to closure of the company
  • employees who already received DOLE CAMP assistance may still avail but is qualified only for the first month

Who are not eligible for SBWS?

  • work from home employees or part of skeleton workforce
  • employees on leave (with or without pay) during ECQ
  • employees receiving SSS unemployment benefits due to COVID-19
  • with unsettled or in-process SSS final claims (i.e. retirement, death, etc)

B. APPLICATION PROCESS

  1. The employer shall visit BIR webpage and click the SBWS icon to verify if the small business is eligible.
  2. Enter the 9-digit employer Tax Identification Number (TIN) in the search field. (refer to the Certificate of Registration)
  3. If qualified, a green prompt notification will appear on screen and copy the passcode provided. (If not qualified, a red prompt notification will appear on screen and send your query at SBWS_BIRquery@bir.gov.ph.)
  4. Go to the SSS portal www.sss.gov.phand log-in to your My.SSS account.
  5. Click the “Small Business Wage Subsidy” tab. Enter the passcode and employer TIN to see the list of employees.
  6. Select the list of employees who are eligible (if not CAMP beneficiaries)
  7. Enter the TIN of each of the qualified employees.
  8. Read carefully the SBWS Employer’s Undertaking and click the “I Agree” tab.
  9. After filling up the application, the employer must submit the following supporting documents to any SSS branch or email to SBWSCertifications@sss.gov.ph:
    - Certification Attesting to the Work and Pay Status of Employee
    - Notice submitted to DOLE for the flexible work arrangement adopted per Labor Advisory 9-2020
    - Establishment Report on CO14D per Labor Advisory 12-2020
    (Non-submission of proof of work and pay arrangement shall not toll the processing of application for the wage subsidy).
  10. The SSS system will validate the information provided and will confirm the qualification of employees.
  11. An email notification will be sent by SSS to the eligible employees that their employer confirmed their qualification for the SBWS program.
  12. SSS will notify the employer of the successfully confirmed employees for SBWS Module

C. DISBURSEMENT

  • First tranche is from May 1 to 15, 2020
  • Second tranche is from May 16 to 31, 2020.

(The schedule may change depending on the timing of the ECQ.)

  • This will be disbursed through:

-SSS UMID card enrolled as ATM;

-PESOnet participating banks;

-Union Bank Quick Card;

-Electronic wallets such as PayMaya; or

-Cash pick-up through remittance partner agents.

D. APPLICATION PERIOD

Employers may apply from April 16 to 30, 2020.

E. CONDITIONS FOR EMPLOYERS AND EMPLOYEES

  • Employees who will receive the subsidy cannot be relieved from work.
  • Employees cannot resign during the ECQ period.