The Cabinet has decided to place social security protection of foreign workers under Social Security Organisation (SOCSO) with effect from 1 January 2019. Human Resources Minister M. Kulasegaran said this is in line with the Equality of Treatment (Accident Compensation) Convention, 1925 (No.19) and Conference Committee on the Application of Standard under the International Labour Organisation (ILO), which Malaysia has ratified.
He said employers who hire foreign workers with valid documents including expatriates must register their employees with SOCSO and contribute to the Employment Injury Scheme (EIS) under the Employees’ Social Security Act 1969 (Act 4). Benefits under the EIS include Medical Benefit, Temporary Disablement Benefit, Permanent Disablement Benefit, Constant-Attendance Allowance, Dependants’ Benefit and Rehabilitation, as well as RM6,500 repatriation cost including funeral.
However, foreign workers would not be covered by the Invalidity Pension Scheme under Act 4, said the minister. The Minister said employers can go to any of SOCSO’s 54 offices throughout the country including Sabah and Sarawak to register their foreign workers. Kulasegaran added that the Ministry, together with SOCSO will conduct engagements with the stakeholders soon.