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Saturday, May 16, 2015

Employers to pay slightly more with expansion of Socso protection scheme

Employers will experience a slight increase in contribution cost with the proposed expansion of the Social Security Organisation (Socso, or Perkeso in Bahasa Malaysia) protection scheme to all  private sector employees. 
Human Resource Ministry in a statement today said even though the proposal had not been finalised, it would be implemented after discussions were held with all parties.
The proposal announced by Prime Minister Datuk Seri Najib Razak during the 2015 Labour Day celebration in Kuching recently was made out of the government's concern on the aspects of social security for workers.
It also said private sector employers should be more considerate on the aspect of social security protection as one of their social responsibilities towards their employees.
The proposal to raise the ceiling contribution from RM3,000 to RM4,000 is based on the increase of average wages of  new employees, especially the executives in the private sector.
According to the ministry, a review of Socso contributions was last carried out in 2005 when the ceiling was raised from RM2,000 to RM3,000. – Bernama

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