Church workers attend SOCSO briefing

KOTA KINABALU – Church workers at archdiocesan and parish levels attended a briefing by Social Security Organisation (SOCSO) on 28 July 2016 at the Sacred Heart Parish Centre here.

Thirty-six members from Catholic Archdiocese Centre Penamapng and Sacred Heart Cathedral Office staff attended the briefing given by David Kimon, Assist Director, Administration, and Flora Paulus, Assist Director, Enforcement.

Paulus gave a brief history of SOCSO, its objectives, and its coverages (benefits).  She said under the Social Security Act 1969, all workers are entitled to it.

SOCSO, also known as PERKESO (Pertubuhan Keselamatan Sosial), was established in 1971 under the Ministry of Human Resources (formerly known as Ministry of Labour) to provide social security protection to all employees/workers in Malaysia.

The objectives of SOCSO (PERKESO) are as follows:

• Registration of employers and employees
• Collection of contribution from employers and employees
• Payment of benefits to workers and/or their dependents when tragedy strikes
• Provision of physical and vocational rehabilitation benefits
• promotion of awareness of occupational safety and health.

The following renumeration or wages payable to staff/workers are subject to SOCSO contributions:

• Salary / Wages (full/part time, monthly/hourly)
• Overtime payments
• Commission
• Paid leave (annual, sick and maternity leave, rest day, public holidays)
• Allowances
• Service Charges

There are two schemes under SOCSO:
First Scheme (Employment Injury Scheme And Invalidity Pension Scheme)
This is applicable for employees aged below 60. The company will pay 1.75%  while the staff/workers’ will contribute 0.5% of their wages for the Employment Injury Insurance Scheme and the Invalidity Pension Scheme.
Second Scheme (Employment Injury Scheme Only)

• For employees above 60 years of age and still working.
• For employees above 55 years of age when first registered and contributed to SOCSO;
• For an Insured Person receiving Invalidity Pension who is still working and receiving wages which is less than1/3 of the average monthly wage before invalidity. Under this category contributions are only paid by the employer for protection under the Employment Injury Scheme

Under the Employment Injury Scheme Benefits are
1) Medical Benefit: Employees suffering from employment injuries or occupational diseases may receive free medical treatment at SOCSO panel clinic or government clinic/hospital.  Treatment must continue until they are fully recovered.

2) Temporary Disablement Benefit: The payment for the period the employee is on medical leave certified by a doctor for not less than four (4) days including the day of accident.  However, it is not paid for the days when the employee works and earns wages during this period.

3) Permanent Disablement Benefit: Permanent Disablement is defined as a permanent disability due to employment injury that reduces the employee’s ability to perform his duties.  The employee can claim this benefit after the last day of temporary disablement

4) Constant-Attendance Allowance: This is paid to an employee who is suffering from total permanent disablement and is so severely incapacitated as to constantly require the personal attendance of another person.

5) Facilities for Physical or Vocational Rehabilitation: Rehabilitation facilities may be provided free of charge by the Organisation to an employee who suffers permanent disablement.

6) Return to Work Programme: SOCSO’s Return to Work (RTW) programme was introduced on 15 January 2007 for Insured Person suffering from employment injury or claiming to be invalid.  The RTW programme involves a proactive approach taken in helping Insured Person with injuries or diseases, opportunities to safe and productive work activities as soon as it is medically possible or when maximum medical improvement is achieved with a primary focus of minimising the impact of injuries or disabilities.

7) Dependents’ Benefit: If an employee dies as a result of employment injury, his dependents are eligible to this benefit.

8) Funeral Benefit: This will be paid to the eligible person as prescribed in the Act, if the employee dies due to any cause.  In the absence of such person, the benefit will be paid to the person who actually incurs the expenditure.

9) Education Benefit: Education Benefit is a SOCSO benefit that can come in the form of education benefits or scholarships to dependent beneficiaries based on PERKESO’s Benefits Schedule and meets the SOCSO’s requirement.

Under the Invalidity Scheme there are eight Benefits:

1. Invalidity Pension: Invalidity is defined as permanent morbid condition that is unlikely to be cured resulting in the employee losing at least one third of his or her capability compared to the normal individual, which ultimately causes a loss of income for the employee.
2. Invalidity Grant: It is payable to the eligible insured persons who have been certified invalid by the Medical Board or Appellate Medical Board but not eligible for invalidity pension due to failure to complete any qualifying conditions.
3. Constant-Attendance Allowance:  This allowance is paid to an employee who is suffering from invalidity and is so severely incapacitated as to constantly require the personal attendance of another person, certified by Medical Board or Special Medical Board or the Appellate Medical Board.
4. Survivors’ Pension: Is payable to the eligible dependents of an insured person who dies irrespective of the cause of death not related to employment.
5. Funeral Benefit:  Will be paid to the eligible person as prescribed in the Act, if the employee dies due to any cause. In the absence of such person, the benefit will be paid to the person who actually incurs the expenditure.
6. Facilities for Physical or Vocational Rehabilitation and Dialysis: Rehabilitation facilities are made available by SOCSO for physical and technical rehabilitation for all employees that have permanent disabilities, and all costs will be borne by SOCSO based on prevailing terms and conditions.
7. Return to Work Programme: The Return to Work programme involves a proactive approach taken in helping Insured Person with injuries or diseases, opportunities to safe and productive work activities as soon as it is medically possible or when maximum medical improvement is achieved with a primary focus of minimizing the impact of injuries or disabilities.
8. Education Benefit:  A SOCSO benefit that can come in the form of education benefits or scholarships to dependent beneficiaries based on PERKESO’s Benefits Schedule and meets the SOCSO’Ss requirement.

Prior to 1 June 2016, only employees earning a monthly salary of not more than RM3,000 were eligible for coverage and employers have an option whether or not to register workers more than the figure.  But this option for employers ceased under the new Act effective June 1 when SOCSO registration and contribution are made compulsory across the board.  The Government has increased the ceiling for monthly contributions from RM3,000 to RM4,000 for all workers.  The monthly contribution rates remain unchanged at 1.75 per cent for employers and 0.5 per cent for emplyees.

In 1971 when it was established, SOCSO provided coverage to workers eligible to be insured up to RM500 monthly salary.  In 1985, it was increased to RM1,000 and RM2,000 in 1992 and later in 2005 to RM3,000.  This year it has increased to RM4,000.