Effective 1 January 2019, employers who hire foreign workers shall register their employees with Social Security Organization (SOCSO) 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 SOCSO 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 SOCSO although such foreign workers are still covered under FWCS.
New foreign workers entering Malaysia on or after 1 January 2019 have to register with SOCSO once they are validated by the immigration Department of Malaysia at any gazetted port of entry.
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.
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.
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.
Period of Temporary Disablement
Rate of Temporary Disablement Benefit
Employees who suffer from permanent disability due to employment injury can apply for this benefit.
Rate of Permanent Disablement Benefit
Assessment and Payment
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.
These facilities are given to eligible employees that includes :
All expenses incurred for the above rehabilitation facilities will be borne by SOCSO based on stipulated rates, terms and conditions.
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
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|
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)
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|
|3/10||Eligible receives benefit up to age 21 or marriage (whichever occurs earlier)
(If parent passed away)
|4/10||Receives benefit for life|
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:
It is a Corporate Social Responsibility initiative when a foreign worker dies due to circumstances not arising from or related to his/her work.
If death of a foreign worker occurs in Malaysia, and burial is in the home country, a maximum cash payment of RM4,500 including cost of repatriation back to the home country will be made to the paying party (subject to change).