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WORKMEN’S COMPENSATION ACT. CHAPTER EIGHT 8. 4.4 : SOCIAL SECURITY FOR MIGRANT WORKERS AND DEPENDENTS. Initially, foreign workers are protected under Employees Social Security Act, but then it was resolved in 1st April 1993 due several reasons.
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WORKMEN’S COMPENSATION ACT CHAPTER EIGHT 8
4.4 : SOCIAL SECURITY FOR MIGRANT WORKERS AND DEPENDENTS • Initially, foreign workers are protected under Employees Social Security Act, but then it was resolved in 1st April 1993 due several reasons. • There are also fund provided for foreign workers under EPF Act, but it was also resolved in 1st August 1998. • Now, their benefits are under workmen’s Compensation (Foreign Worker’s Compensation Scheme) (Insurance) Order 1998.
SOCIAL SECURITY FOR MIGRANT WORKERS • All migrant workers: • Not more than RM500 monthly income • Manual labour (Unlimited monthly income) • Employer’s responsibility: • All employers must pay a Insurance premium, for RM86 yearly for ach workers from selected insurance company ie: • Arab Malaysian Assurance Bhd / Mayban Assurance Bhd • MNI Bhd / Sykt Takaful
SOCIAL SECURITY FOR MIGRANT WORKERS • No deduction of employees’ salary for premium insurance payment purposes • Compensation is paid directly to the migrant workers
SOCIAL SECURITY FOR MIGRANT WORKERS AND DEPENDENTS Additional benefits. • The insurer, in addition to its contractual obligations to pay in accordance with the policy of insurance subscribed by the employer in favour of his workman, shall provide under the Scheme the following additional benefits without imposing any additional premium on the employer:
SOCIAL SECURITY FOR WORKERS AND DEPENDENTS MIGRANT (a) a sum of RM25,000 in the event of death of a workman from personal injury sustained in an accident which arises out of and in the course of his employment; (b) where the personal injury is sustained in an accident which occurs outside the working hours of a workman – (i) a sum of RM23,000 in the event of death or permanent total disablement; &
SOCIAL SECURITY FOR WORKERS AND DEPENDENTS MIGRANT (ii) a sum of money equivalent to the amount of compensation awarded under section 8 of the Act for, and in the event of, permanent partial disablement or temporary disablement; and (c) a sum of RM4,800 or the actual expenses incurred in repatriating a workman to his country of origin in the event of his death or permanent total disablement, whichever is lower.