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  1. #1
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    Default Social Security system – some specific advice please?

    My 2 workers are a husband and wife team. Their two roles can loosely be described as Farm Hand and Domestic houseworker. Farm hand works 5.5 days per week. Houseworker works 9 am to 3 pm x 4 days a week (lunch provided). They live in a small casita on the property.

    I am a private owner of the property, i.e. there is no Company/ Corporation.

    Neither I, nor they, are currently enrolled in the Social Security system and I am seeking to change this arrangement but I have received some confusing advice and instructions on how to proceed.

    My questions are:

    1. Do I need to register first and, if so, how and where do I do this?

    2. How do I register the two workers?

    3. What are the costs to me and to them?

    4. I have been given to understand that the Health cover provided by the SS system is inadequate, particularly for the north coast area as many of the medical facilities do not accept the SS health cover. Can I/ we opt out of this area and secure medical cover with one of the general health providers, i.e. Monumental, Universal, Humano etc. and pay a premium to the health company rather than the SS. If so, how would this work and would the two arrangements be linked?

    5. Does the SS system cover Accidents at work and TP liability?

    6. How does the Incapacity/ Retirement part of the SS system benefit me/ them?

    I would appreciate the experiences of other members of the Forums but also request a definitive answer from Mr. Guzman – many thanks.

  2. #2
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    Just a little *bump* as I am keen to get some answers...

  3. Likes Bronxboy liked this post
  4. #3
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    I am not sure how or if you can register your employees as coverable employees with having a corporation. You may be better off to open them a savings account each and deposit some money monthly to cover their retirement savings. AND go purchase private medical coverage for them via one of the insurance companies. The mandatory gov't coverage is 500,000 and is meant to cover emergencies and accidents. It does not cover routine medical care. A decent policy will run about 900RD a month for each of them.

    The gov't programs do cover accidents at work via the mandatory insurance and funding formula for salary loss but I do not understand it in depth. Sorry I do not know what TP liability is.

    Again I think your first stumbling block is not being a company, not sure you can register at all. You need an RNC.

  5. #4
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    Thanks for your response DMV123. I am sure that there must be others in a similar position to myself who have registered themselves and their employees with SS but seems that no-one is sharing.....

    Would really appreciate an opinion/ comment from Mr. Guzman on this one.

  6. #5
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    In the light of this quote taken from today's DR1 News, perhaps I could again request comments/ advice re my initial post please:

    "A Labor Court has ordered a family to pay RD$10,000 in compensation to each of their four household employees for not registering them in the social security health regime. The court ordered the family that employed four men to pay the vacation time, Christmas wage in addition to the compensation for failing to register them in the health program."

  7. #6
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    Shirley while you're waiting you may want to check out this thread http://www.dr1.com/forums/legal/4215...labor-law.html written by Mr Guzman.


    Scroll down till you get to this part
    7.2. Social Security

    The Dominican Social Security system established by Law No. 87-01 contemplates insurance for health and labor risks and an incapacity/retirement fund, to be funded by salary-based contributions to be made by both employee and employer in the proportions described below.


    Hope that helps

  8. #7
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    Thank you for that link, Anna, and I did actually have that printed out but, as I know certain things have changed, I would like some answers for 2011 rather than rely on information from 2005 as I am sure you will understand.

  9. #8
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    This statement is the botom line of the DR1 article today:

    "The social security service penalty is a new requirement that had not been specified in the Labor Code in the chapter for domestic help and will now become regularly requested of employers in the future. "
    I read this to mean that it is not written into the Labor Code yet but because the employees in this case won that it may be in the future.

  10. #9
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    Although the Social Security law 87-01 does not specifically categorize or include "domestic workers" anywhere, the courts have ruled that domestic workers are included based on the Principle of Universality established in Article 3 of Law #87-01 (“El SDSS deberá proteger a todos los dominicanos y a los residentes en el país, sin discriminación por razón de salud, sexo, condición social, política o económica”), and on Article 5 of the Law stating that "all Dominican citizens and legal residents in the country" will benefit from the system.
    Fabio J. Guzman
    Guzman Ariza
    Attorneys-at-Law
    Sosúa, Santo Domingo, San Francisco de Macorís, Cabrera
    Las Terrenas, Samaná, Bávaro (Punta Cana) and La Romana
    Dominican Republic


    [email protected]


    Website

    The opinion above should not be construed to be formal legal advice and was given without reviewing the facts and documents pertinent to the case. The reader should NOT act based upon this opinion without seeking professional counsel.

  11. #10
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    Quote Originally Posted by Fabio J. Guzman View Post
    Although the Social Security law 87-01 does not specifically categorize or include "domestic workers" anywhere, the courts have ruled that domestic workers are included based on the Principle of Universality established in Article 3 of Law #87-01 (“El SDSS deberá proteger a todos los dominicanos y a los residentes en el país, sin discriminación por razón de salud, sexo, condición social, política o económica”), and on Article 5 of the Law stating that "all Dominican citizens and legal residents in the country" will benefit from the system.
    Thank you for clarifying the ongoing queries in many people's minds with regard to how we should treat our domestic workers. Would it also be possible to prevail upon you to answer the more specific questions I raised in my original post which started this thread?

    Many thanks in advance.

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