PERTUBUHAN KESELAMATAN SOSIAL

ESTABLISHMENT Set up in 1971 Set up in 1971 Enforce Employees’ Social Security Act 1969 Enforce Employees’ Social Security Act 1969 Protection: Protection: Medical care Medical care Cash benefits Cash benefits Rehabilitation Rehabilitation

Concept on socso Employers Liability Employers Liability Who employs one or more employees – required to register & contribute monthly for all employees Who employs one or more employees – required to register & contribute monthly for all employees Employee Employee Earns a monthly wage RM3,000 or less Earns a monthly wage RM3,000 or less More than RM3,000: More than RM3,000: Previously registered, must compulsorily continue Previously registered, must compulsorily continue Not previously registered, can opt to do so. Not previously registered, can opt to do so.

Concept on socso Coverage: Coverage: All employee irrespective of the emplyment status, permanent, temporary etc All employee irrespective of the emplyment status, permanent, temporary etc Exemption: Exemption: Government employees Government employees Domestic servants Domestic servants Self employed persons Self employed persons Foreign workers Foreign workers

Concept on socso AGE: AGE: Must register irrespective of age Must register irrespective of age 55 and above wiil continue to be protected (EIS-e’yer) 55 and above wiil continue to be protected (EIS-e’yer) CONTRIBUTION CONTRIBUTION Employees – 0.5% (IPS) Employees – 0.5% (IPS) Employers – 1.75% (EIS & IPS) Employers – 1.75% (EIS & IPS)

COVERAGE EMPLOYMENT INJURY SCHEME EMPLOYMENT INJURY SCHEME Protection for accidents: Protection for accidents: While traveling While traveling Arising out and in the course of employment Arising out and in the course of employment Occupational disease Occupational disease INVALIDITY PENSION SCHEME INVALIDITY PENSION SCHEME Serious disablement or morbid condition of a permanent nature that is either incurable Serious disablement or morbid condition of a permanent nature that is either incurable Unable to earn at least 1/3 of normal person Unable to earn at least 1/3 of normal person 24 hours coverage 24 hours coverage Against invalidity or death due to any cause not connected with his employment Against invalidity or death due to any cause not connected with his employment

BENEFITS EIS EIS Medical benefit Medical benefit Temporary disablement benefit Temporary disablement benefit Permanent disablement benefit Permanent disablement benefit Constant attendance allowance Constant attendance allowance Dependant’s benefit Dependant’s benefit Funeral benefit Funeral benefit Rehabilitation benefit Rehabilitation benefit IPS IPS Invalidity pension Invalidity pension Invalidity grant Invalidity grant Constant attendance allowance Constant attendance allowance Survivors pension Survivors pension Funeral benefits Funeral benefits Rehabilitation Rehabilitation Educational loan Educational loan

Employment Injury Scheme Medical benefits Medical benefits Occupational disease Occupational disease Treatment at SOCSO panel government Hospital/clinic Treatment at SOCSO panel government Hospital/clinic Free – socso Free – socso Serious injury – Serious injury – to nearest government hospital to nearest government hospital 2 nd class ward-inpatient 2 nd class ward-inpatient Temporary disablement benefit Temporary disablement benefit Unfit for work not less than 4 days Unfit for work not less than 4 days Only during medical leave Only during medical leave Daily rate = 80% of daily wage or min RM10 and max RM52 Daily rate = 80% of daily wage or min RM10 and max RM52

Employment Injury Scheme Permanent disablement benefit Permanent disablement benefit Cash – certified of permanent disablement Cash – certified of permanent disablement Loss 100% = 90% min RM10 Loss 100% = 90% min RM10 Loss 20% or less = lump sum payment Loss 20% or less = lump sum payment Exceed 20% = 1/5 daily rate into lump sum and balance = monthly pension Exceed 20% = 1/5 daily rate into lump sum and balance = monthly pension Can continue work Can continue work Constant attendance allowance Constant attendance allowance Permanent total disablement (100% loss0 Permanent total disablement (100% loss0 Severely incapacitated & requires personal attendance of another person Severely incapacitated & requires personal attendance of another person 40% of rate total disablement, max RM500 40% of rate total disablement, max RM500

Employment Injury Scheme Dependant’s benefit Dependant’s benefit If employees dies If employees dies 90% of the daily wage 90% of the daily wage

Employment Injury Scheme Widow3/5 For life until re-marriage wce Children 3/5 Natural/step/adopted/out of wedlock – up to age 21 or marriage. 1 st degree Widower3/5 Wholly depend on wife until remarriage or can support himself wce Parents4/10 For life Grandpare nts 4/10 For life Brothers & sisters 3/10 Up to age 21 or marriage wce

Employment Injury Scheme Funeral benefit Funeral benefit RM1,500 RM1,500 As resulted of EI or while receiving disablement benefits As resulted of EI or while receiving disablement benefits Next of person Next of person WIL WIL Rehabilitation benefit Rehabilitation benefit Facilities for vocational & physical rehabilitation Facilities for vocational & physical rehabilitation training training

Invalidity Pension Scheme Full qualifying condition Full qualifying condition At least 24 months within 40 consecutive months At least 24 months within 40 consecutive months 2/3 = at least 24 2/3 = at least 24 50% - 65% of monthly salary 50% - 65% of monthly salary Reduced qualifying condition Reduced qualifying condition 1/3 = at least 24 1/3 = at least 24 50% 50% Qualifying condition Has not completed age 55 Certified by medical board Fulfilled the qualifying condition contribution Minimum RM 250

Invalidity Pension Scheme Invalidity grant Invalidity grant Paid for those who are not qualified for Invalidity pension Paid for those who are not qualified for Invalidity pension At least 12 months At least 12 months amount of the total contributions amount of the total contributions Outright payment Outright payment Constant attendance allowance Constant attendance allowance Recipient of invalidity pension Recipient of invalidity pension 40% of the rate invalidity pension 40% of the rate invalidity pension Max RM500 per month Max RM500 per month

Invalidity Pension Scheme Survivor’s pension Survivor’s pension Only if employee dies irrespective of the cause of death Only if employee dies irrespective of the cause of death While receiving invalidity pension While receiving invalidity pension Not more than 55 years Not more than 55 years Rate: Rate: Invalidity pension = equal Invalidity pension = equal If not = 50% - 65% If not = 50% - 65% Funeral benefits Funeral benefits While receiving invalidity pension While receiving invalidity pension Before 55 age Before 55 age As EIS As EIS

CHALLENGES Increasing cost Increasing cost Investment issues Investment issues Efficiency in processing claims Efficiency in processing claims Pressures from mass media Pressures from mass media Pressures from NGOs Pressures from NGOs Migrant workers Migrant workers Fraudulent claims Fraudulent claims