
Many countries have social security programmes to provide individuals or their dependents with healthcare and income security, typically in the event of illness, disability or death.
In Malaysia, all employed workers are eligible to claim social security benefits through the Malaysian government’s Social Security Organisation (SOCSO). For those who’re working in Malaysia, it’s essential to know how you can benefit from SOCSO and what protections you are entitled to.
How To Be A Registered Employee With SOCSO
Ensure that your employer has helped you register you as a member of SOCSO. In Malaysia, all employers that hire one or more employees are required to register their workers with SOCSO.
Once registered, you will make monthly contributions to SOCSO that will be deducted from your salary. Your employer will also make monthly contributions to SOCSO. The SOCSO contribution amount varies according to salary range.
Both employers and employees need to make monthly contributions at the following rates.
Coverage | Contribution Rate | |
First Category (employees aged 60) | Second Category (employees aged 60 or new employees that reach the age of 55 with no SOCSO benefits prior) | |
Workers Social Security
|
Employer: 1.75% Employee: 0.5% |
Employer: 1.25% for Employment Injury Scheme only |
Coverage | Contribution Rate (employees aged 18 to 60 except new employees who reach the age of 57 with no prior SOCSO benefit) |
Employment Insurance System (EIS) | Employer: 0.2% Employee: 0.2% |
You may check the contribution amount of both employer and employee in your salary payslip.
Read Also: EPF, SOCSO, EIS, MTD: Understanding Your Payslip As An Employee In Malaysia
Types Of Protections Provided By SOCSO
SOCSO generally provides two types of protection to workers: healthcare and income security.
- Coverage of the Workers Social Security Act 1969
Employment Injury Scheme
Invalidity Scheme - Coverage of the Employment Insurance System Act 2017
Types Of SOCSO Benefits
There are several types of SOCSO benefits which you can claim in different situations.
Type of Protection | Coverage | Benefits |
Employment Injury Scheme |
|
|
Invalidity Scheme | Invalidity or death due to causes outside of work |
|
Employment Insurance Scheme (EIS) | Loss of job due to:
|
|
Source: (SOCSO)
Other SOCSO Services You’re Eligible To
Aside from providing social security to SOCSO members, SOCSO also offers employment-related services. These include career guidance, reskilling and job matching services through MYFutureJobs. MYFutureJobs also conduct physical career fairs throughout the country.
Read Also: Malaysia Car Insurance: The Types Of Policies And What Is Sufficient Coverage
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