You may be aware of SOCSO, however do you know what it covers? We’ve simplified it for you, read on to understand the basics of SOCSO and why it is important for you!
What is SOCSO?
When you look at your payslip every month, you may have noticed that a portion of your salary is taken and is then contributed to SOCSO. Similar like EPF contributions, your employers is also obligated to make a contribution for you.
Social Security Organization (SOCSO) which is also known as PERKESO is a government agency established in order to implement and administer the social security schemes under the Employees’ Social Security Act 1969. Aside from that, it was also established to provide social security protection to employees and their dependents.
It is an offence if an employer does not make contributions on behalf of their employees to SOCSO. Make sure your employer contributes on your behalf, you can check your status at eSemak or at SOCSO branches.
The rate of SOCSO contribution will depend on your salary. For a breakdown of how much you and your employer’s contribution should be, click here.
SOCSO announced an increase for its pension rates on 8 November 2017. This will come under the Employment Injury Scheme and Invalidity Scheme. As a result of this increase, SOCSO would pay the pension arrears adjustment beginning from 26 Dec to eligible SOCSO recipients.
“A total of 328,056 recipients will receive the pension at a minimum rate of RM475.00”– Datuk Seri Richard Riot Jaem, Human Resources Manager
The payment will be made to SOCSO recipients who are currently receiving:
- Permanent Disablement Benefit
- Dependent’s Benefit
- Invalidity Pension
- Survivor’s Pension
So if you or your family members are recipients of any of the above, make sure the pension payout received in December onwards will reflect the increase that was announced by SOCSO.
What are the benefits of SOCSO?
There are two schemes under SOCSO, which are the Employment Injury Scheme and the Invalidity Scheme. Employment Injury Scheme is for temporary disablement that caused an employee unfit to work for no less than 4 days, and treatments will continue until the employee have fully recovered.
Under the Employment Injury Scheme, the benefits are:
- Medical benefit
- Temporary disablement benefit
- Permanent disablement benefit
- Constant attendance allowance
- Facilities for physical and vocational rehabilitation
- Return to work programme
- Dependents’ benefit
- Funeral benefit
- Education benefit
As for the Invalidity Scheme, it is defined as an injury that is permanent and is unlikely to be cured as a result of the employee losing at least 1/3 of capability compared to a normal, healthy individual thus causing a loss of income.
Under the Invalidity Scheme, the benefits are:
- Invalidity pension
- Invalidity grant
- Constance attendance allowance
- Survivors pension
- Funeral benefit
- Facilities for physical or vocational rehabilitation and dialysis
- Return to work programme
- Education benefit
Aside from the coverage, you may also be eligible for FREE health checkups! Under the SOCSO Health Screening Programme (HSP), SOCSO members who are 40 years old and above are entitled for the free checkup. HSP will screen for diseases such as cardiovascular diseases, diabetes as well as cervical and breast cancer. However, the screening can only be done at registered panel clinics.
Why is SOCSO important?
The main reason why SOCSO is so important to you is because it is there to protect you, as well as to compensate you in the event that you suffer from any work-related injury. This means the medical treatment, and even follow up treatments as a result of a work-related injury will be covered by SOCSO.
So for example, if an employee suffers from permanent injury or requires physical treatment as a result of the injury it will be covered by SOCSO. This will include treatments such as physiotherapy, reconstructive surgery, artificial limbs as well as prosthetic appliances like wheelchairs and hearing aids.
Do take note that even if you are injured during your meal break at work (authorized meal breaks), you can also submit a claim for compensation.
How do you submit a SOCSO claim?
In the event that you are injured while working, or even during your commute to or from work you can submit a claim with SOCSO. If the injury is caused by an accident at the workplace, your employer will have to notify SOCSO by filling the Accident Report (Form 21) and Submit A Claim Form (Form 10).
You will also need to submit punch card or attendance records, medical certificate and a copy of your identification card to a SOCSO branch. If the accident occurred while you were commuting to or from work, an additional police report and sketch map of the route taken at the time of the accident must also be submitted.
Additional information you must know about SOCSO
Previously, only employees earning a monthly salary of not more than RM3,000 were eligible for SOCSO coverage, and they will be subject to the ‘once-in-always-in’ principle. But following the amendments, employees earning a gross monthly salary of RM4,000 will also be eligible for SOCSO coverage. Effective from 1 June 2016, the Social Security Employee Act 1969 has been amended as per below:
- The ‘once-in-always-in’ principle is no longer effective. All employees employed under a contract of service or apprenticeship with salary of RM4,000 or below must be registered and contribute to SOCSO
- Employers must fill in Form 2 (Employee Registration Form) for employees without SOCSO coverage, and submit it to the nearest Office of State Director or Manager Office
Temporary workers or part-time workers must also be registered for SOCSO provided their salary is below RM4,000. It is an offence if your employer fails to contribute on your behalf for SOCSO even if you are a part-time worker and regardless of your age.
If you lost your job during the pandemic, you can claim the Employee Insurance Scheme by SOCSO. Tap the link below for more info!
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