From enrollment procedures to benefits administration, learn more about SOCSO/EIS (Social Security Organization/ Employment Insurance System) to gain insights into Malaysia's social security and employment insurance schemes.
Foreign Worker SOCSO Rate Table
Foreign Worker SOCSO Rate Table (effective October 2024) Effective July 2024, foreign workers aged below 60 are now eligible for SOCSO’s Invalidity Scheme (previously applying only to Malaysian employees aged below 60). That includes 24-hour protection and funeral repatriation. They now contribute under the First Category (Employment Injury and Invalidity Scheme), elaborated in the foreign worker […]
What is the Employment Insurance System?
The Employment Insurance System, EIS, was first implemented in January 2018 by PERKESO. It is a financial scheme aimed at helping employees who lost their jobs until they find new employment. The contributions are being collected in a fund in order to provide financial assistance to retrenched employees. It also aims to provide extended welfare […]
What are the differences between the two SOCSO categories?
Contributions to SOCSO are divided into two categories, as follows: Employment Injury and Invalidity Scheme Malaysian employees below the age of 60 contribute under this category, unless they began contributing at the age of 55 or above. From 1 July 2024, foreign employees below the age of 60 also contribute under this category, unless they […]
Which payments are subject to SOCSO/EIS contribution and which are exempted?
Payments Subject to SOCSO/EIS Contribution “Wages” for contribution purposes refers to all remuneration payable in money by an employer to an employee. This includes: Basic Salaries Overtime payments Commissions Payments in respect of leave Service charges Payments Exempted From SOCSO/EIS Contribution The payments below are not considered “wages” and are not included in the calculations […]
What is SOCSO?
Overview SOCSO (Social Security Organization), also known as PERKESO (Pertubuhan Keselamatan Sosial), is a Malaysian government agency that was established to provide social security protections to employees under the Employees’ Social Security Act, 1969. Functions of SOCSO The functions of SOCSO are as follows: Registration of employers and employees Collection of contributions from employers and […]
