KUALA LUMPUR: The Self Employment Social Security Bill 2017 which seeks to provide Social Security Organisation (Socso) protection to self employed persons has been passed by the Dewan Rakyat today.
Human Resources Minister Datuk Seri Richard Riot Jaem said for a start, the new law would be enforced to provide Socso protection to self-employed taxi drivers and e-hailing service providers, including Uber and GrabCar, before being extended to other self-employment sectors.
“Hopefully, one day it will be expanded to include other sectors,” he said when winding up the debate on the bill earlier.
Riot said that under the bill each taxi driver and e-hailing service provider would be required to contribute 1.25 percent of their monthly income to Socso on a monthly basis.
“The period of protection is for 12 consecutive months with effect from the date and time the contribution was made,” he said.
The Bill also stated that any person who contravenes these regulations is committing an offence and was liable, upon conviction, to a fine not exceeding RM10,000 or a jail term not exceeding two years or both.
Explaining about the penalty that drew strong opposition of some members of Parliament debating the bill, Riot said the fine amount was actually small compared to the benefits to be received by the contributors or their next of kin later. -- Bernama