PETALING JAYA: As of Aug 3, only 2.6% or 26,448 out of the one million petty traders in the country were contributing to the Social Security Organisation (Socso) Self-Employment Social Security Scheme (SESSS).
Calling the situation “dire”, Socso CEO Datuk Seri Dr Mohammed Azman Aziz Mohammed said: “This has resulted in many of the self-employed having no social security protection because they cannot afford to pay regular contributions.
“Most of them are from the B40 group, whose households earn less than RM4,850 per month, which is worrying. Some have other priorities to spend their money on, apart from ignorance and apathy.
“The situation is made worse by current economic conditions that are ruled by higher cost of living and rising inflation. For the B40 group, social security protection is a luxury and not part of their long-term survival. This is sad,” he told theSun.
Deputy Human Resources Minister Datuk Awang Hashim previously said only 15.5% or 369,107 self-employed people in Malaysia were contributing to SESSS, and the number was negligible considering there were 2.38 million self-employed workers in the country.
Commenting on this, Azman said under the Self-Employment Social Security Act 2017, which also covers SESSS, self-employed individuals who are required to contribute to Socso are those employed in passenger transport, goods and food transport, agriculture, livestock, fisheries, construction, online business, arts and household services.
“The self-employed in these sectors should be Malaysian citizens or permanent residents and working in the country to earn their living.
“Petty traders who contribute to SESSS can obtain medical, temporary disablement and permanent disability benefits in the event of any accident related to their activities or occupational hazards.
“Social security protection will ensure that the contributors and their families receive some assistance, either monetary or otherwise, to help them get by after an accident or death.
“The self-employed can participate in SESSS by registering with the scheme and making contributions in cash or through online payment,” he said.
Azman urged all self-employed individuals in the country to take advantage of the incentives provided by the government under the matching contribution programme, which was unveiled in Budget 2022 last October.
Under the programme, the government will contribute 80% or RM232.80 for one year’s coverage under Plan Two of SESSS, while the self-employed individual only pays the balance.
Azman stressed that petty traders are eligible for this incentive, which comes under the SPS Jaja category.
“So, please do not let this opportunity go as you only pay 20% or RM46.60 for one year’s social protection.
“It’s a small sum compared with the benefits provided under the scheme.”
Applications can be made at any Socso office or via the Matrix Portal (https://matrix.perkeso.gov.my).
The self-employed can participate in SESSS by registering with the scheme at any Socso office or via the Matrix Portal (https://matrix.perkeso.gov.my). – BERNAMAPIX
