Foreign Workers

Foreign Workers

Effective 1 January 2019, employers who hire foreign workers  shall register their employees with Social Security Organisation and contribute to the Employment Injury Scheme under the Employees’ Social Security Act 1969 (Act 4). The rate of contribution is 1.25% of the insured monthly wages and to be paid by the employer. Registration can be made via ASSIST portal or by submitting the registration form to the nearest PERKESO office.

Existing foreign workers in Malaysia who have valid Foreign Workers Compensation Scheme (FWCS), they have to register with PERKESO by their employers a day after expiration of FWCS, subject to the end of the cooling-off period for FWCS on 31 December 2019. Starting from 1 January 2020, all employers shall register with PERKESO although such foreign workers are still covered under FWCS.

New foreign workers entering Malaysia on or after 1 January 2019 have to register with PERKESO once they are validated by the immigration Department of Malaysia at any gazetted port of entry.

Eligibility Requirement

  • Must possess valid passport and Special Pass for new foreign workers; or
  • Must possess employment pass and Temporary Employment Visit Pass or a valid employment pass for existing foreign workers, whichever is applicable.

Registration

Registration of employees must be made by the employers and it is the employees responsibility to ensure that you are registered and your contributions are paid fully by both parties. You may find the registration process in the link below.

More Info

Benefits

  • Medical Benefit

    Employees suffering from employment injuries or occupational diseases may receive free medical treatment at SOCSO’s panel clinic or Government clinic / hospital until they are fully recovered.

    Reimbursement
    Employers or employees can claim for reimbursement of expenses incurred in respect of medical treatment at SOCSO’s non-panel clinic. Application can be made to SOCSO and the reimbursement is subject to such condition as determined by the Organisation or according to Fees Act 1951.

  • Temporary Disablement Benefit

    Period of Temporary Disablement

    • Temporary Disablement Benefit is paid for the period the employee is on medical leave certified by a doctor for not less than 4 days including the day of accident.
    • However, Temporary Disablement Benefit will NOT be paid for the days for which the employee works and earns wages during this period.

    Rate of Temporary Disablement Benefit

    • The daily rate of Temporary Disablement Benefit is 80% of the employee’s average assumed daily wage. The minimum rate is RM30.00 per day while the maximum rate is RM132.00 per day.
  • Permanent Disablement Benefit

    Employees who suffer from permanent disability due to employment injury can apply for this benefit. 

    Rate of Permanent Disablement Benefit

    • The daily rate of Permanent Disablement Benefit is 90% of the employee’s average assumed daily wage, subject to a minimum of RM30.00 per day or a maximum of RM148.50 per day.

    Claim Period

    • Claim must be made within 12 months from the last date of the temporary disablement.

    Assessment and Payment

    • Assessment and Payment Claims will be referred to the       Medical Board for permanent disability assessment.
    • If the assessment does not exceed 20%, payment can be made in the form of lump sum.
    • If the assessment exceeds 20%, the employee is given an option to commute 1/5 of daily rate of the benefit into a lump sum payment while the balance will be paid monthly for whole life.
  • Constant Attendance Allowance

    This allowance is paid to foreign workers who is suffering from total permanent disablement (100%) and is so severely incapacitated as to constantly require the personal attendance of another person, certified by Medical Board or Special Medical Board or the Appellate Medical Board.

    The allowance is fixed at RM500 per month.

  • Rehabilitation Facilities

    These facilities are given to eligible employees  that includes :

    1. Physiotherapy 
    2. Reconstructive surgery
    3. Supply of prosthetics, orthotics and other appliances
    4. Supply of orthopedics apparatus such as wheelchair, crutches, hearing aid, spectacles, special shoes and others

    All expenses incurred for the above rehabilitation facilities will be borne by SOCSO based on stipulated rates, terms and conditions.

  • Dependants' Benefit

    If an employee dies as a result of an employment injury, his dependants are entitled to this benefit.

    Rate of Daily Benefit To Be Paid

    • Daily rate is 90% of the average assumed daily wage subject to a minimum of RM30.00 per day and a maximum of RM148.50 per day.

    Dependants and Daily Rate Share

    i. The daily rate share for for Dependants’ Benefit is based on the following priorities:

    Dependants' Share Of Daily Rate Details
    Widow/widower 3/5

    Receives benefit for life even though widow or widower remarries (on or after 1 May 2005)

    Child (An eligible child includes biological, dependant step-child, adopted child, or an illegitimate child is entitled to receive benefit)

    2/5

    Eligible to receives benefit up to age 21 or marriage (whichever occurs earlier)




    If the child is currently studying in an institute of higher learning, he/she will receive benefit until the completion of the first degree or marriage (whichever occurs earlier)

    If a child is mentally retarded or physically incapacitated and is incapable of supporting him/herself, the benefit will be paid as long as the child is unable to support him/herself

    ii. If an employee dies and does not leave any widow or widower or children, the Dependants’ Benefit will be paid to:

    Dependants' Share Of Daily Rate Details
    Parents 4/10 Eligible receives benefit for life

    Brother/sister

    3/10 Eligible receives benefit up to age 21 or marriage (whichever occurs earlier)


    Grandparents
    (If parent passed away)
    4/10 Receives benefit for life
  • Funeral Benefit

    Benefit payments will be made to eligible dependants’ or parties who bear the funeral costs. The payment amount is the actual amount of expenses or the maximum payment amount whichever is lower based on the receipt submitted.

    The maximum amount of this benefit payment is as below:

    • If the death occurs in Malaysia and the burial takes place in the country of origin, a maximum cash payment of RM6,500 including the cost of shipping the remains/ashes to the country of origin.
    • If the death and burial only take place in Malaysia, a maximum amount of RM2,000 will be paid.
    • For periodic benefit recipients, if death and burial occur in the country of origin, a maximum amount of RM2,000 will be paid.

Invalidity Scheme

Additional Initiative: Funeral Repatriation Cost

Other than the benefits mentioned above, PERKESO provides an additional initiative for when a foreign worker dies in Malaysia due to circumstances not arising from or not related to the employment.

The cost of repatriation of the foreign worker's remains/ashes to the home country may be reimbursed by PERKESO maximum RM4,500.00 based on the receipt (subject to current policies).

Related Info

Download Flyers

Federal Government Gazette

Employees' Social Security (Exemption of Foreign Workers) (Revocation) Notification 2018

Employees' Social Security (Exemption) (No.2) Notification 2018

Employees' Social Security (Exemption) Notification (2018)

Employees' Social Security (Exemption) Notification (2018)

Perintah Keselamatan Sosial Pekerja - Pindaan Jadual Pertama (2024)

Peraturan-Peraturan Sosial Pekerja (Amaun Faedah Pengurusan Mayat) (Pindaan)(No.2)2024

Pemberitahuan Keselamatan Sosial Pekerja(Pengecualian Faedah Bagi Pekerja Asing)2024

Read more: Foreign Workers

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Invalidity Scheme

Invalidity Scheme

 An Insured Person shall be considered as suffering from invalidity by reason of specific morbid condition of permanent nature either incurable or is not likely to be cured and no longer capable of earning, by work corresponding to his strength and physical ability, at least 1/3 of the customary earnings of a sound Insured Person.

The scheme provides 24-hour coverage to employee who suffers from invalidity or death due to any cause and not related to his employment.

Invalidity Scheme Benefits

  • Invalidity Pension

    Invalidity Pension is:

    • Payable to the eligible insured persons who have been certified invalid by the Medical Board or Appellate Medical Board
    • Payable from the date Notice of Invalidity is received or from the employee’s resignation date if he / she resigns after the Notice of Invalidity is received by Organisation
    • Payable as long as the employee is invalid or until death
    • Replaced by Survivors’ Pension if the Invalidity Pension recipient dies, regardless of his / her age

    Qualifying Conditions

    • Not attained 60 years of age at the time Invalidity Notice is received; or
    • In the event that the employee exceeded 60 years of age (with effective from 1 January 2013) at the time the Invalidity Notice is received, he/she must show evidence of:
      - Suffering from a specific morbid condition of permanent nature
      - Incapable of engaging in any substantially gainful activities
      - A morbid condition that has set in before attaining 60 years of age and has not been gainfully employed since then
    • Certified invalid by the Medical Board or Appellate Medical Board
    • Fulfills the qualifying contribution conditions either full or reduced qualifying period

    Full Qualifying Period
    Insured Persons are deemed to have fulfilled the qualifying period for full contribution if:

    • Their monthly contribution has been paid for at least 24 months within a period of 40 consecutive months prior to the month in which their Invalidity Notice is received by SOSCO; or
    • Their monthly contribution has been paid for not less than 2/3 of the complete months comprised between the date when contribution first become payable and the Invalidity Notice is received by SOCSO (the total number of monthly contributions that has been paid within that period must be at least 24 months).


    Invalidity Pension Rate 
    The rate of Invalidity Pension for full qualifying period is from 50% to 65% of the average assumed monthly wage subject to a minimum pension of RM550 per month.

    The Insured Persons are entitled to receive a pension at the rate of 50% of the average assumed monthly wage, increase by 1% for every 12 months contributions that are paid in excess. However, the rate of monthly pension shall not in any case exceed 65%.

    Example of Calculations for Full Qualifying Period:

    i. Monthly contribution have been paid not less than 24 months within 40 months

    - Date of joining the scheme    : 01/03/2012
    - Date of Notice of Invalidity received   : 01/07/2015
    - 40 consecutive months preceding the month of Notice received   : 03/2012–06/2015

             rekod caruman pekerja

    Based on the above example, employees are eligible to receive a pension at a rate of 50% of their average assumed monthly wages.

    ii. Monthly contribution have been paid not less than 2/3 of the number of complete months when contribution first become payable

    i. Date of joining the scheme               :  01/07/1999
    ii. Date of Notice of Invalidity received  : 01/01/2015
    iii. Number of monthly contributions for
    July 1999 to December 2014     :  186 months
    iv. 2/3 monthly contributions paid         : 2/3 x 186 months = 124 contributions

    • rekod caruman pekerja2
    • Based on the above example, employees are eligible to receive a pension at the rate of 59% of the average assumed monthly wage based on the following calculation:
      kiraan

      Reduced Qualifying Period
      The rate of Invalidity Pension for reduced qualifying period is 50% of the average assumed monthly wage subject to a minimum pension of RM550 per month.

      Insured Person are deemed to have fulfilled the reduced qualifying period if:

      • Their monthly contribution has been paid for not less than 1/3 of the complete months comprised between the date when contribution first become payable and the Notice of Invalidity is received by Organisation
      • The total number of monthly contributions that has been paid within that period must be at least 24 months

      Example of Calculations for Reduced Qualifying Period:

      1. Monthly contribution have been paid not less than 1/3 of the number of complete months when contribution first become payable
        Date of joining the scheme               > 01/07/1999
        Date of Notice of Invalidity received  > 01/01/2015
        Number of monthly contribution for
        July 1999 to December 2014            > 186 months
        1/3 monthly contributions paid         > 1/3 x 186 months = 62 contributions
      employee contribution record2

    Based on the above example, employees are eligible to receive a pension at the rate of 50% of the average assumed monthly wage.

  • Invalidity Grant

    Invalidity Grant is payable to the eligible Insured Persons who have been certified invalid by the Medical Board or Appellate Medical Board but not eligible for Invalidity Pension due to failure to fulfill any qualifying contribution conditions.

    The amount for Invalidity Grant is equivalent to the contributions paid by employee and employer under Invalidity Scheme with interest. It is a one-time lump sum payment.

  • Constant-attendance Allowance

    This allowance is paid to an Insured Person who has been certified and is so severely incapacitated as to constantly require the personal attendance of another person, as recommended by the Medical Board.

    This allowance is fixed at RM500 per month.

  • Survivors' Pension

    1. Survivors’ Pension is payable to the eligible dependants of an Insured Person who dies irrespective of the cause of death not related to employment.

      Qualifying Conditions

      • The Insured Person dies before attaining 60 years of age (effective from 1 January 2013) and fulfills the qualifying conditions either full or reduced qualifying period
      • The Insured Person who is receiving Invalidity Pension dies regardless of his age


      Full Qualifying Period
      Insured Person shall be deemed to have completed a full qualifying period if:

      • Monthly contributions have been paid for at least 24 months within a period of 40 consecutive months preceding the month of his death; or
      • Monthly contributions have been paid for not less than 2/3 of the complete months comprised between the date when contribution first become payable and the date of his death provided that the total number of monthly contributions paid shall be at least 24 months

      Survivors’ Pension Rate
      The rate of Survivors’ Pension for full qualifying period is from 50% to 65% of the average assumed monthly wage subject to a minimum pension of RM550 per month.

      The dependants are entitled to receive a pension at the rate of 50% of their average assumed monthly wage, increased by 1% for every 12 months’ contributions that are paid in excess of the first 24 months provided that the rate of monthly pension shall not in any case exceeds 65%.

      Note: If the deceased was a recipient of Invalidity Pension, the rate of Survivor’ Pension is equivalent to the rate of Invalidity Pension received by the deceased.

      Example of calculations: 

      1. Monthly contributions have been paid not less than 24 months within 40 months
        Date of joining the scheme              >  01/09/2011
        Date of death                                 > 01/01/2015
        40 consecutive months preceding
        the month of death                         > 09/2011-12/2014

      rekod caruman pekerja1penakat
    2. Dependants are eligible to receive a pension at a rate of 50% of their average assumed monthly wage.
      1. Monthly contributions have been paid not less than 2/3 of the number of complete months when contributions first become payable
        Date of joining the scheme                > 01/07/1999
        Date of death 01/01/2015
        Number of monthly contributions
        from July 1999 to December 2014     > 186 months
        2/3 monthly contributions paid          > 2/3 x 186 months = 124 contributions

      rekod caruman pekerja2penakat

      Dependants are eligible to receive a pension at the rate of 59% of the average assumed monthly wage based on the following calculation:

      kiraan penakat

    1. Reduced Qualifying Period
      The rate of Survivors’ Pension for reduced qualifying period is 50% of the average assumed monthly wage subject to a minimum pension of RM475 per month.

      Insured Persons are deemed to have fulfilled the reduced qualifying period if:

      • Their monthly contributions have been paid for not less than 1/3 of the complete months comprised between the date when contribution first become payable and the date of his death.
      • The total number of monthly contributions that has been paid within that period must be at least 24 months.


      Example of Calculations:

      1. Monthly contributions have been paid not less than 1/3 of the number of complete months when contributions first become payable
        Date of joining the scheme                 > 01/07/1999
        Date of joining the scheme                 > 01/01/2015
        Number of monthly contributions        
        from July 1999 to December 2014      > 186 months
        1/3 monthly contributions paid           > 1/3 x 186 months = 62 contributions

      rekod caruman pekerja3penakat
      1. Based on the above example, dependants are eligible to receive a pension at the rate of 50% of their average assumed monthly wage.

      Dependants and Daily Rate
      The daily rate of Survivors’ Pension is based on the following priorities:

      kadar harian pencen penakat

      If an employee dies and does not leave any widow or widower or children, the Survivors’ Pension will be paid to:
      kadar harian pencen penakat2

  • Physical or Vocational Rehabilitation & Dialysis

    Amongst the facilities provided are:

    • Physical rehabilitation includes:
       Physiotherapy 
       Occupational therapy
       Reconstructive surgery
       Supply of prosthetics, orthotics and other appliances
       Supply of orthopaedics apparatus such as wheelchair, crutches, hearing aid, spectacles, special shoes and others

    • Vocational rehabilitation includes:
       Training in courses such as electrical, sewing, radio / TV repair, typing and others

    • Dialysis facilities for Insured Persons suffering from chronic renal failure includes:
       Haemodialysis treatment at SOCSO’s panel and non-panel dialysis centre or Government Hospitals
       Continuous Ambulatory Peritoneal Dialysis (CAPD)
       Subsidy aid for Erythropoietin (EPO) injection
       Subsidy aid for Immunosuppressant medicine
       Payment for Arteriovenous (AV) Fistula surgery

      All expenses incurred for the above rehabilitation facilities will be borne by SOCSO based on stipulated rates, terms and conditions.
  • Funeral Benefit

    Funeral Benefit with amount of RM3,000 (effective from 1 June 2024) will be paid to the eligible person if the employee dies due to any cause. In the absence of such person, the benefit will be paid to the person who actually incurs the expenditure.

    The amount paid will be the actual amount incurred or RM3,000 whichever is lower.

  • Education Benefit

    This benefit is in the form of loans may be provided to a dependant’s child of an Insured Person who:

    • Dies while receiving Invalidity Pension
    • Dies before attaining the age of 60 years but has completed a full or a reduced qualifying period
    • Is a Invalidity Pension recipient

    Note: Application subject to terms and conditions specified by SOCSO

    Service Charge SOCSO Education Loan

    Effective 1st January 2013, service charge education loan for all borrowers who received education loan offered before 1st January 2009 has been reduced from 4% to 2%. Meanwhile, for new borrowers who received education loan offered after 1st January 2009, services charged still remain at 2%.

    Read more

Forms related to benefit claims can be download at the link below :

Read more: Invalidity Scheme

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Employment Injury Scheme

Employment Injury Scheme

Employment Injury Scheme provides protection to an employee against accident or an occupational disease arising out of and in the course of his employment. The protection under this scheme covers the following:

Work Accident

Accidents are encountered while at work or while on a business day.

Commuting Accident

  • On a route between his place of residence or stay and his place of work
  • On a journey made for any reason which is directly connected to his employment
  • On a journey between his place of work and the place where he takes his meal during any authorized recess

Note : An accident that occurs during any interruption or deviation shall not be deemed to arise out of and in the course of his employment.

Emergency Accident

Accident which occurs during an emergency at the employer’s premises while in the course of assisting, rescuing, or protecting other people from disaster or danger during an emergency.

Occupational Diseases

Diseases resulted from his occupation as described in the Fifth Schedule of Employees’ Social Security Act 1969.

Amongst the occupational diseases include:

  • Loss of hearing due to continuous excessive noise exposure
  • Occupational asthma due to work involving constant exposure to the inhalation of dust or harmful chemical and etc

Employement Injury Scheme Benefits

  • Medical Benefit

    Employees suffering from employment injuries or occupational diseases may receive free medical treatment at SOCSO’s panel clinic or Government clinic / hospital until they are fully recovered.

    For serious injuries, medical care may be obtained from the Government hospital and the employee is eligible for second class ward treatment. Specialist treatment will be provided, if required.

    Reimbursement 
    Employers or employees can claim for reimbursement of expenses incurred in respect of medical treatment at SOCSO’s non-panel clinic. Application can be made to SOCSO and the reimbursement is subject to such condition as determined by the Organisation or according to Fees Act 1951.

  • Temporary Disablement Benefit

    Period of Temporary Disablement
    Temporary Disablement Benefit is paid for the period the employee is on medical leave certified by a doctor for not less than 4 days including the day of accident. However, Temporary Disablement Benefit will NOT be paid for the days for which the employee works and earns wages during this period.

    Rate of Temporary Disablement Benefit
    The daily rate of Temporary Disablement Benefit is 80% of the employee’s average assumed daily wage. The minimum rate is RM30.00 per day while the maximum rate is RM132 per day. 

  • Permanent Disablement Benefit

    Employees who suffer from permanent disability due to employment injury can apply for this benefit. 

    Rate of Permanent Disablement Benefit
    The daily rate of Permanent Disablement Benefit is 90% of the employee’s average assumed daily wage, subject to a minimum of RM30.00 per day or a maximum of RM118.50 per day.

    Claim Period
    Claim must be made within 12 months from the last date of the temporary disablement.

    Assessment and Payment
    Assessment and Payment Claims will be referred to the Medical Board for permanent disability assessment

    • If the assessment does not exceed 20%, payment can be made in the form of lump sum
    • If the assessment exceeds 20%, the employee is given an option to commute 1/5 of daily rate of the benefit into a lump sum payment while the balance will be paid monthly for whole life
  • Constant-attendance Allowance

    This allowance is paid to an employee who is suffering from total permanent disablement and is so severely incapacitated as to constantly require the personal attendance of another person, certified by Medical Board or Special Medical Board or the Appellate Medical Board.

    The allowance is fixed at RM500 per month.

  • Physical or Vocational Rehabilitation

    These facilities are given to eligible employees in the form of:

    i. Physical rehabilitation that includes: 

    • Physiotherapy 
    • Occupational therapy  
    • Reconstructive surgery
    • Supply of prosthetics, orthotics and other appliances
    • Supply of orthopedics apparatus such as wheelchair, crutches, hearing aid, spectacles, special shoes and others

    ii. Vocational rehabilitation that includes:

    • Training in courses such as electrical, sewing, radio/TV repair, typing and others. All expenses incurred for the above rehabilitation facilities will be borne by SOCSO based on stipulated rates, terms and conditions.

     All expenses incurred for the above rehabilitation facilities will be borne by SOCSO based on stipulated rates, terms and conditions.

  • Dependant's Benefit

    If an employee dies as a result of an employment injury, his dependants are entitled to this benefit.

    Rate of Daily Benefit To Be Paid
    Daily rate is 90% of the average assumed daily wage subject to a minimum of RM30.00 per day and a maximum of RM148.50 per day.

    Dependants and Daily Rate Share
    i. The daily rate share for for Dependants’ Benefit is based on the following priorities:

    Dependants Share Of Daily Rate Details

     

    Widow / widower

     

    3/5

    Receives benefit for life even though widow or widower remarries (on or after 1 May 2005)

    Child

     

    An eligible child includes biological, dependant step-child, adopted child, or an illegitimate child is entitled to receive benefit

    2/5

    (If the widow or widower dies, the child's share becomes 3/5)

    • Eligible to receives benefit up to age 21 or marriage (whichever occurs earlier)
    • If the child is currently studying in an institute of higher learning, he/she will receive benefit until the completion of the first degree or marriage (whichever occurs earlier)
    • If a child is mentally retarded or physically incapacitated and is incapable of supporting him/herself, the benefit will be paid as long as the child is unable to support him/herself

     

    ii. If an employee dies and does not leave any widow or widower or children, the Dependants’ Benefit will be paid to:

    Dependants Share of daily rate
    Details
    Parents 4/10
    • Eligible receives benefit for life
    Brother / Sister 3/10
    • Eligible receives benefit up to age 21 or marriage (whichever occurs earlier)
    Grandparents
    (If parent passed away)
    4/10
    • Receives benefit for life
  • Funeral Benefit

    Funeral Benefit with amount of RM3,000 (effective from 1 June 2024) will be paid to the eligible person if the employee dies as a result of employment injury or while he/she is in receipt of Permanent Disablement Benefit. In the absence of such person, the benefit will be paid to the person who actually incurs the funeral expenditure.

    The amount paid will be the actual amount incurred or RM3,000 whichever is lower.

  • Education Benefit

    This benefit is in the form of loans may be provided to a dependant child of an insured person who:

    • Dies as a result of employment injury
    • Is in receipt of periodical payments for Permanent Disablement Benefit

    Service Charge SOCSO Education Loan

    Effective 1st January 2013, service charge education loan for all borrowers who received education loan offered before 1st January 2009 has been reduced from 4% to 2%. Meanwhile, for new borrowers who received education loan offered after 1st January 2009, services charged still remain at 2%.

     Note: Application is subjected to terms and conditions specified by SOCSO.

    Read more

Forms related to benefit claims can be download at the link below :

Read more: Employment Injury Scheme

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Menara PERKESO, Jalan Ampang, Kuala Lumpur

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1-300-22-8000

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