Socso Employment Insurance Scheme

The insurance scheme which will be administered by the social security organisation socso seeks to provide temporary financial assistance for up to six months to workers who are retrenched.

Socso employment insurance scheme. The employment injury scheme and the invalidity scheme under act 4 allow socso malaysia to provide free medical treatment facility for physical or vocational rehabilitation and financial assistance to employees if the accidents or diseases have reduced their abilities to work or rendered them incapacitated. The erp provides rm600 per month up to a maximum of 6 months for employees who have been issued with no pay leave due to covid 19. In this article we ll be using eis to denote all the terms above.

As the name suggests the eis is primarily aimed to help laid off employees who are looking for another job and who contribute to socso. It functions similarly to the employees provident fund epf where contributions will go into a pooled fund and then the fund will be invested. The employment insurance system act covers all workers who are.

The new employment insurance scheme by socso hence to protect employees who face risk of retrenchment the malaysian government launched an employment insurance scheme on 27 october this year. Aged 18 60 working in the private sector employed based on a contract of service important exception. Workers aged 57 and above who have never paid contributions before that age are not covered by the eis act and are not required to contribute.

Employment injury insurance scheme. Proposed by prime minister datuk seri najib razak the employment insurance scheme eis is expected to be tabled in parliament in the july august 2017 sitting. The malay name for it is sistem insurans pekerjaan or sip.

Contribution by employer only. Employment injury means personal injury to an employee caused by an accident or an occupational disease arising out of and in the course of employment in an industry to which this act applies. Managed by the social security organisation socso eis the eis eis perkeso is the abbreviation for the employment insurance scheme.

Employment injury scheme provides protection to employees who suffer from accidents arising from work. When wages exceed rm30 but not rm50. Basically eis is a job loss coverage scheme designed to help workers who have lost their jobs by providing them with temporary financial assistance among others.