Malaysia Statutory and Private Employee Benefits (including Social Security) - Insights into Statutory Employee Benefits such as Retirement Benefits, Long-term and Short-term Sickness Benefits, Medical Benefits as well as Other State and Private Benefits,

Malaysia Statutory and Private Employee Benefits (including Social Security) - Insights into Statutory Employee Benefits such as Retirement Benefits, Long-term and Short-term Sickness Benefits, Medical Benefits as well as Other State and Private Benefits, 2023 Update

Summary

The report provides in-depth industry analysis, information, and insights of the employee benefits in Malaysia, including an overview of the state and compulsory benefits in Malaysia, detailed information about the private benefits in Malaysia, insights on various central institutions responsible for the administration of the different branches of social security and the regulatory framework of the employee benefits in Malaysia.The Malaysian Social Security System is based on two pillars: The Employees Provident Fund (EPF) and the Social Insurance System. Pensions in Malaysia are covered by the Employees Provident Fund, which acts as a fundamental support to the Malaysian pension system and deals with the provision of extensive social security functions. The social insurance system is administered by the Social Security Organization (SOCSO) and provides financial assistance to insured employees and their dependents in the event of accidents that may result in death, disability or illness, or an occupational disease. SOCSO provides two types of insurance schemes to employees: the employment injury scheme and the disability scheme. Generally, foreign workers are not covered by SOCSO, but under the Worker’s Compensation Act, they are entitled to receive benefits in the event of a work-based injury. Various reforms have been introduced to improve financial security in retirement by encouraging longer contributions and more prudent distribution of accumulated assets through various incentives. As in many Asian and western countries, Malaysia has also seen adverse demographic developments and needs to restructure its system to deal with future financial challenges. Occupational pensions are not very common in Malaysia and are mostly limited to larger employers.

Key Highlights

• Ministry of Finance (Kementerian Kewangan), Employee Provident Fund (Kumpulan Wang Simpanan Pekerja, KWSP), Ministry of Human Resources (Kementerian Sumber Manusia), Social Security Organization (SOCSO), and Ministry of Health (Kementerian Kesihatan) organizations are responsible for the functioning of the overall social security system.
• A person’s national insurance contribution is determined based on their income.
• An insured person who is unemployed or unable to work and whose benefits have been exhausted is entitled to a credited contribution.
• In Malaysia, employers provide voluntary retirement benefits to their employees through private retirement schemes and deferred annuity schemes.

Scope

This report provides a detailed analysis of employee benefits in Malaysia -

It offers a detailed analysis of the key government-sponsored employee benefits, along with private benefits

It covers an exhaustive list of employee benefits, including retirement benefits, death in service, long-term disability benefits, medical benefits, workmen's compensation insurance, maternity and paternity benefits, unemployment, leaves and holidays, and private benefits

It highlights the economic and regulatory situations relating to employee benefits in Malaysia

Reasons to Buy

• Make strategic decisions using in-depth information related to employee benefits in the country
• Assess employee benefits of the market, including state and compulsory benefits and private benefits
• Gain insights into the key employee benefit schemes offered by private employers in the country
• Gain insights into key organizations governing employee benefits market, and their impact on companies