Friday 14 Jun 2024
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KUALA LUMPUR (April 4): The government has tabled a Bill to widen the scope of job insurance under the Social Security Organisation (Socso) to include self-employed individuals involved in passenger carriage services.

The Self-Employment Social Security Bill 2017 makes it mandatory for self-employed persons in the passenger carriage services to pay monthly contributions to Socso.

The Bill defines the "service of carriage of passengers" as services provided through the use of a vehicle owned, managed, maintained or operated by an individual; or services provided for hire or reward or any other valuable consideration.

The Bill does not include drivers employed exclusively as a domestic servant.

On the lower end of the scale, those earning RM1,050 will be obligated to pay RM13.10 per month. The scale covers up to monthly earnings of RM3,950, which translates to a monthly contribution of RM49.40.

With this, self-employed individuals will be able to enjoy insurance benefits in the event of work-related accidents. If a self-employed individual dies as a result of a work-related injury, the person’s dependants will be entitled to a dependants’ benefit.

Non-compliance will result in a fine not exceeding RM10,000 or imprisonment not exceeding two years or both.

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