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By Gemma Q.
Casas
Variety News Staff
THE cash-strapped government
will explore the possibility of recovering from the U.S. Social Security
program the contributions of thousands of foreigners that have worked
here over the years.
Speaker Oscar M. Babauta, Covenant-Saipan, said the CNMI will ask the
federal government to consider returning to the commonwealth the Social
Security contributions of migrant workers, particularly those of Chinese
garment workers.
We want to explore the possibility of getting back the contributions
of Chinese garment workers to Social Security, the speaker told
Variety in an interview on Friday.
They will not be able to use it so we think the (local) government
could make use of it, he added.
Each documented foreign worker in the Northern Marianas is issued an SS
number.
With the exception of workers from the Philippines and South Korea whose
governments have separate agreements with the U.S. to exempt their citizens
from contributing to the Social Security Administration if they work on
U.S. soil, foreign workers in the Northern Marianas have 7.65 percent
of their wages deducted as SS contributions under the Federal Insurance
Contributions Act, also known as FICA, every pay period, according to
the agencys local office.
From the more than 15,000 Chinese garment workers who are mostly paid
the CNMIs decade-old minimum wage of $3.05 an hour, the U.S. collects
more than $500,000 for their SS or FICA taxes.
But although foreign worker contributions go directly to the U.S. governments
retirement system, the workers do not get them back unless they contribute
for at least 10 years.
In 2004, the federal government stepped up the requirements for non-citizens
to qualify for SS benefits, further reducing the chances that CNMI migrant
workers will ever get their contributions back.
According to the U.S. 2000 Census, the CNMI was home to more than 38,000
migrant workers, mostly from the Philippines and China.
This figure has dropped to about 27,000 this year as businesses fold up
one after another.
Babauta said many migrant workers in the Northern Marianas, particularly
the Chinese, go back to their home country after working for many years.
Were talking about millions of dollars here, he said.
Last week, Gov. Benigno R. Fitial asked the Legislature to revise the
current fiscal years $193.5 million budget to $163.5 million.
The governments projected revenue this fiscal year is likely to
drop by 16 percent due to the closure of more garment factories and the
continued decline in the tourism industry.
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