#Human Resources #Employer

Employers Must Know: Employment Injury Scheme for Foreign Workers

Mohamad Danial bin Ab Khalil
by Mohamad Danial bin Ab Khalil
Sep 12, 2021 at 1:04 AM

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The Employment Injury (EI) Scheme protects employees against accidents or occupational diseases arising out of and in the course of their employment. 

Beginning 1 January 2019, foreign workers must register with Social Security Organisation (SOCSO), and employers must contribute to the EI Scheme.

 

Who's eligible for the EI Scheme?

All legal foreign workers, including expatriates in Malaysia with valid working permits provided by the Immigration Department of Malaysia.

 

Eligibility requirements

  • New foreign workers must possess a valid working permit, passport and Special Pass,

  • Existing foreign workers must possess a valid passport and Visitor's Pass (Temporary Employment) or a valid Employment Pass.

 

Registering and contributing with SOCSO

Employers can register their foreign workers online through the Automated SOCSO Integrated System (ASSIST) portal. 

They can also complete the Foreign Worker Registration Form and submit it to the nearest SOCSO office. 

Employers must submit these supporting documents: 

  • A front-page copy of the worker's passport containing their particulars, 

  • Legitimate work permits, entry passes, or the like.

Employers must make contributions according to the Second Category of the EI Scheme, which is the employer's share of the contributions. 

Employers must make contribution payments online via the ASSIST Portal/internet banking using the Foreign Workers' Social Security Number (FWSS).

employment injury scheme
Social protection for foreign workers in Malaysia.

Foreign Workers Social Security Number

SOCSO will generate a Foreign Workers' Social Security Number (FWSS) for every registered foreign worker. 

The 12-digit FWSS No. shall be used when dealing with SOCSO on all issues related to foreign workers, despite any changes to their details in the passport/valid working permit/equivalent document in the future.

 

The form required to register foreign workers 

The Foreign Worker Registration Form. You can download it here

 

Contribution rate

The employer must pay the contribution rate, which is 1.25% of the insured monthly wages, referring to the Second Category Contribution Schedule for the EI Scheme. 

The contribution deduction is on a monthly basis.

Click here for the contribution schedule.

 

Contribution payment due date

The employer must pay for contributions no later than the 15th day of each succeeding month. For instance, the employer must pay contributions for January 2019 latest by 15 February 2019. 

 

Definition of salary for foreign workers for the purpose of contribution

Employee's contribution is subject to their salary, including:

  • Wages, 

  • Overtime payments, 

  • Commission, 

  • Service charge, 

  • Incentive allowances, 

  • Paid annual leave, 

  • Maternity leave, 

  • Sick leave, 

  • Public holidays, 

  • Rest day, 

  • Subsistence and others.

All work payments by hourly, daily, weekly, and monthly are considered salary. 

 

Benefits provided under the EI Scheme

  • Medical Benefit,

  • Temporary Disablement Benefit,

  • Permanent Disablement Benefit,

  • Dependants' Benefit,

  • Funeral Benefit,

  • Constant-Attendance Allowance, and

  • Rehabilitation.

 

The benefits exempted under the EI Scheme for Foreign Workers are:

  • Education Benefit, 

  • Vocational programmes, 

  • Dialysis treatment, and 

  • Return To Work Programme. 

Foreign workers who died in Malaysia and are repatriated to the country of origin for burial are eligible for RM6,500 in funeral benefits. 

Eligible beneficiaries of foreign workers who died and are buried in Malaysia will receive RM2,000. 

In the case of nonbeneficiaries, SOCSO will reimburse the expenses according to the funeral receipt, whichever is the lowest. 

 

Reporting an accident

Employers can make benefit claims for foreign workers by filling in the Foreign Worker Accident And Occupational Diseases Notification Form with supporting documents. 

 

Forms related to EI Scheme for foreign workers

 

For more information, please get in touch with SOCSO's Customer Service Line 1-300-22-8000 or visit SOCSO's website at www.perkeso.gov.my or go to the nearest SOCSO office.

 

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