Almost 130k applications received for wage subsidy scheme, says Socso

Petaling Jaya, 17 April 2020- The Social Security Organisation (Socso) has received almost 130,000 applications involving 1.07 million employees for the wage subsidy scheme as of April 15. In a statement on Thursday (April 16), Socso CEO Datuk Seri Dr Mohammed Azman Aziz Mohammed said, so far 111,900 applications involving 727,288 workers had been approved.

From the total of 129,039 applications, 124,106 are companies with a workforce of below 75 employees; 3,716 are companies with between 76 and 200 workers, and 1,217 companies with more than 201 staff. Selangor recorded the highest number of applications from 34,674 employers, involving 288,536 employees. To expedite the approval process, Azman called for cooperation from employers to submit complete application forms with accurate information.

He said some employers submitted incomplete applications, not providing correct information or submitting documents in the wrong format. In view of the Covid-19 pandemic’s impact on the economy, Prime Minister Tan Sri Muhyiddin Yassin announced several initiatives through the Prihatin Rakyat Economic Stimulus package to help those affected by the outbreak, including the RM600 monthly wage subsidy programme.

The subsidy programme came into effect on April 1. It was an extension of the employment retention programme announced in the Economic Stimulus Package 2020 on March 16. Under the additional initiative, all companies with local employees earning a monthly salary of RM4,000 or less each are eligible for wage subsidies.

For companies with a workforce of more than 200 people, the government will provide a wage subsidy of RM600 per month for every retained worker. However, the maximum number of workers that a company is eligible to claim for was increased from 100 to 200 employees. Companies with between 75 and 200 employees will receive a wage subsidy of RM800 per month for every employee, while companies with fewer than 75 employees will be provided a wage subsidy of RM1,200 per month per employee.

While there are no conditions set for companies with fewer than 75 workers, companies from the other two categories will have to prove that their income has decreased by more than 50% compared to January of this year. The assistance is for a three-month period and is specifically for employers registered with the Companies Commission of Malaysia or local authorities before Jan 1,2020, and are registered with Socso.

Currently, employers can only submit their applications online via prihatin.perkeso.gov.my. After the movement control order (MCO) ends, employers can go to Socso offices to submit their applications manually. Applications for the wage subsidy scheme are open until Sept 15.

Employers experiencing difficulties in submitting their applications can contact Socso via email at perkeso@perkeso.gov.mywww.facebook.com/PERKESO.Official/ or call 03-8091 5100/03 -4264 5555/1-300-22-8000.

– The Star