Pertubuhan Keselamatan Sosial (“PERKESO”) has launched OPS KESAN which is an operation to identify employers who have yet to register their businesses and workers with PERKESO. Employer’s Responsibility Employers are responsible for the registration and contribute to Social Security Organization (“SOCSO”) based on the rates specified under the Employees’ Social Security Act, 1969. Employers can be categorized under principal employer or immediate employer. (a) Principal Employer: an employer who employs an employee directly under a contract of service or apprenticeship. The employer is responsible for all matters relation to services and payment of wages. (b) Immediate Employer: an employer who employs employees to perform work under the supervision of the of the principal employer. This includes a person who has a contract of service with an employee and temporarily lends or leases the service of that employee to a principal employer. Principal employers are also responsible to ensure all workers employed by immediate employers are registered with SCOSO and the contributions are paid accordingly. Registration of New Employer and Employee It has to be registered within 30 days upon hiring a new employee. All required forms can be downloaded from the PERKESO official portal.
Submission and Payment of Contribution
Employers are required to register with PERKESO ASSIST Portal to obtain the user ID and subsequently fill up the necessary details in the portal for monthly submission. Payments can be made in the portal itself.
Contribution Payment Period
All contributions are payable not later than the 15th day of each succeeding month. (E.g.: Contributions for May 2022 must be paid latest by 15th June 2022)
Interest on Late Payment of Contributions
Interest on late payment of contributions will be imposed at a rate of 6% per annum for each day of contributions not paid within the stipulated period.
Penalties and Prosecution
Under the Employees’ Social Security Act 1969, an employer or employee that is found guilty for the following offences may be fined not more than RM10,000 or 2 years imprisonment or both if convicted of:
Type of Offences
Failure or late in registration of industry
Section 5 and Regulation 12 (1)
Failure or late in registration of eligible employees
Section 6(1) & (8) and Regulation 32
Failure or late in payment of employee contribution to SOCSO
Section 14(A) & Regulation 33
Failure or late in payment of Contribution Late Payment Interest to SOCSO
Regulation 71(1) & (2)
Employer failure to or late in reporting of accidents
Provide, produce or present fraudulent documents or information
Failure to pay fines
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