HR Ministry proposes self-employed, gig economy contribute to Socso

Human Resources Minister Datuk Seri M. Saravanan said the existing act, the Self-Employment Social Security Act 2017 (Act 789), must to be amended to enable the safety and interests of workers in the sectors concerned to be guaranteed. — Picture by Yusof Mat Isa
Human Resources Minister Datuk Seri M. Saravanan said the existing act, the Self-Employment Social Security Act 2017 (Act 789), must to be amended to enable the safety and interests of workers in the sectors concerned to be guaranteed. — Picture by Yusof Mat Isa
KUALA LUMPUR, Nov 24 — The Ministry of Human Resources (MOHR) plans to make it mandatory for all workers, including self-employment and gig-economy, to contribute to the Social Security Organisation (Socso).

Human Resources Minister Datuk Seri M. Saravanan said the existing act, the Self-Employment Social Security Act 2017 (Act 789), must to be amended to enable the safety and interests of workers in the sectors concerned to be guaranteed.

“Many do not realise they are contributing, there are Malaysians who think that Socso only provides assistance in the event of an accident at work, it is not necessarily so.

“There was a case where the husband dies and the wife receives 90 per cent of the final salary amounting to RM4,000.

‘‘If he contributes to Socso, the wife will get RM3,600 per month as well as additional educational assistance for children under 21. Meanwhile, the husband who is cared for by the wife due to an accident also gets a monthly contribution.

“As the Minister of Human Resources, I wish to make Socso contributions compulsory for all walks of life, including ‘self employment’ and ‘gig-economy’.

‘‘The important thing is that we need to change the act, give some time and the people need to give their support,” he told reporters after the handover ceremony of Rehabilitation Benefits to an Insured Person at the IKTAR Building, Kuala Lumpur Hospital today.

Saravanan said the existing act had constraints and needed to be scrutinised and reviewed in order to enable workers such as bus drivers or those with their own businesses to obtain safety net assistance.

“During the movement control order period, almost most of the B40s did not have any safety net and therefore Socso has begun to study and examine the existing Act in order to enable workers such as bus drivers or those with their own businesses to get assistance.

“Although, we as ministers are ready to help but with the existing act, we have constraints. So I have asked Socso board members to study and we will take it to the Cabinet committee to make changes and then bring it to Parliament to change it, “he said.

On the ceremony, he said an employee  of the solid waste management company Alam Flora Sdn Bhd, T. V. Vijaya Kumarane, 51, who was involved in a road accident on April 12, was found to be contributing under the Employees Social Security Act 1969 (Act 4).

He said the contributions enabled Vijaya to receive the assistance of Temporary Disability Benefit (FHUS), Medical Benefits and Rehabilitation Benefits through the Return to Work (RTW) Programme.

“He (Vijaya) can’t afford to undergo surgery, I realised he had contributed to Socso and with those contributions we managed to save his life. Socso has contributed almost RM23,000 to his medical needs.

“This is a pretty classic case where the contributor himself is not aware that he has contributed to Socso and can get help. After scrutinising his case, he was found to be eligible for various assistance including for surgery,” he said.

Vijaya had to undergo surgery for a left skull implant costing RM23,000 which was fully borne by the MOHR agency, Socso.

Also present were Socso chief executive Datuk Seri Mohammed Azman Aziz Mohammed and Kuala Lumpur Alam Flora manager Kuit Kheng Keong. — Bernama

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