KUALA LUMPUR, Jul 5 – It’ll be too late for regrets if employers don’t take advantage of the exemption period from fines and prosecution for not registering their employees with the Social Security Organisation (Socso).
The suspension of charges which started on July 1 and ends on July 31, will be followed by Ops Kesan, an unearthing operation starting Aug 1, targeting businesses, taxi drivers and those offering the e-hailing service.
This operation is to ensure every employer with at least one worker has done the right thing by the Employees’ Social Security Act 1969 (Act 4) and Employment Insurance System Act 2017 (Act 800) which came into force on Jan 1, 2018.
Taxi drivers and those offering the ride-hailing service fall under the Self-Employment Social Security Act 2017 (Act 789), which was enforced on June 1, 2017.
“Employees and taxi drivers who register voluntarily at any of the 53 Socso offices around the country during this reprieve period will also have the late payment interest waived,” said Socso chief executive officer, Datuk Seri Dr Mohammed Azman Aziz, at a press conference today.
Employers who neglect their duty to register with Socso will have to pay a penalty that ranges between RM500 and RM5,000, while a fine not exceeding RM10,000, imprisonment not exceeding two years, or both awaits those who are convicted.
Socso thinks many employers have yet to register their staff. From 2009 to May 31, 2018, Socso has issued RM21,656,900 worth of fines and has taken 12,593 cases to court. — Bernama