EMPLOYEES' SOCIAL SECURITY ACT 1969

LAWS OF MALAYSIA ONLINE VERSION OF UPDATED TEXT OF REPRINT Act 4 EMPLOYEES’ SOCIAL SECURITY ACT 1969 As at 1 October 2024 This text is ONLY AN UPDATED TEXT of the Employees’ Social Security Act 1969 by the Attorney General’s Chambers. Unless and until reprinted pursuant to the powers of the Commissioner of Law Revision under subsection 14(1) of the Revision of Laws Act 1968 [Act 1], this text is NOT AN AUTHENTIC TEXT. 2 EMPLOYEES’ SOCIAL SECURITY ACT 1969 Date of Royal Assent … … … … 2 April 1969 Date of publication in the Gazette … … … … 10 April 1969 English text to be authoritative … … … … P.U. (B) 80/1969 Latest amendment made by Act A1724 which came into operation on … … … … 1 October 2024 PREVIOUS REPRINTS First Reprint … … … … … 1992 Second Reprint … … … … … 1999 Third Reprint … … … … … 2006 3 LAWS OF MALAYSIA Act 4 EMPLOYEES’ SOCIAL SECURITY ACT 1969 ARRANGEMENT OF SECTIONS PART I PRELIMINARY Section 1. Short title, extent, commencement and application 2. Definitions PART II INSURABILITY AND CONTRIBUTIONS 3. Applicability 4. Registration of industries 5. All employees to be insured 6. Contributions 7. Principal employer to pay contributions in the first instance 8. Recovery of contribution from immediate employer 9. General provisions as to payment of contributions 9A. Contributions where industry or employee is not insured or registered 9 B. Validation of contribution collected 10. Method of payment of contribution 11. Employers to furnish returns and maintain registers in certain cases 12. Inspectors, their functions and duties 12A. Powers of examination and search 12B. Obstruction to exercise of powers by an Inspector 4 Laws of Malaysia ACT 4 Section 12C. Power to examine persons 13. Determination of contributions in certain cases 13A. Power of Director General to ask for information and application for search warrant 14. Recovery of contributions 14A. Interest on contribution in arrears PART III BENEFITS 15. Benefits 16. When person considered as suffering from invalidity 17. When insured person eligible for invalidity pension 17A. Qualifying conditions for survivors’ pension 18. (Deleted) 19. Payment of invalidity pension 20. Invalidity pension 20A. Survivors’ pension 20B. (Deleted) 21. Invalidity grant 22. Disablement benefit 23. Presumption as to accident arising in the course of employment 24. Accidents while travelling 25. Accidents happening while meeting emergency 26. Dependants’ benefit 27. (Deleted) 28. Occupational diseases 29. Funeral benefit 30. Constant-attendance allowance 31. Liability of employer and his servant 32. Determination of question of invalidity or disablement 32A. Determination of occupational diseases Employees’ Social Security 5 Section 33. References to medical boards and appeals to appellate medical board 33A. Insured person dies before medical board examination 34. Review of decisions by medical board or appellate medical board 35. Review of invalidity pension 36. Review of dependants’ benefit 37. Medical benefit 38. Scale of medical benefit 39. Establishment and maintenance of hospitals, etc. 40. Organization’s power to co-operate with existing institutions or promote measures for health, welfare, etc., of insured persons 41. Benefit not assignable or attachable 42. (Deleted) 43. Persons not to commute cash benefits 44. Persons not entitled to receive benefits in certain cases 45. Claimant of disablement benefit or invalidity pension to observe conditions 46. Recipients of disablement benefit to observe conditions 47. (Deleted) 48. Organization’s right where a principal employer fails or neglects to pay any contribution 49. Suspension of invalidity pension 50. Repayment of benefit improperly received 51. Payment of amount of benefit outstanding at the time of the death of the insured person 52. Employer not to reduce wages, etc. 53. Employer not to dismiss or punish employee during period of temporary disablement 54. Claim for benefits 55. Reporting of change in condition, etc. 56. Discretion to compute the qualifying period and the rate of monthly invalidity pension 57. Facilities for physical or vocational rehabilitation 57A. Education benefit 6 Laws of Malaysia ACT 4 Section 57B. Organization to be responsible for the recovery and collection of repayments of educational loans 57C. Appointment of collection agents PART IV ADMINISTRATION, FINANCE AND AUDIT 58. Administration of the Social Security Scheme 59. Chief Executive Officer 59A. The Social Security Organization 59B. Establishment of the Board 59C. Minister shall appoint any person to act as Chairman 59D. Sixth Schedule to apply to Board 59E. Cessation of membership of Board 59F. Disqualification 59G. Application of the Public Authorities Protection Act 1948 59H. Public servants and public officers 59I. Board to give effect to Minister’s directions 59J. Delegation of power 59K. Administrative control of officers and servants by Director General 59L. Appointment of officers and servants 59M. Setting up divisions, regional offices, etc. 59N. Power to dispose of staff questions 59O. Power to make staff rules 59P. Committees 59Q. Disciplinary Committee 59R. Discipline of officers 59S. Establishment of Disciplinary Appeal Board 59T. Power to make disciplinary rules 59U. Imposition of surcharge 59V. Establishment of Promotion Board 59W. Establishment of Promotion Appeal Board Employees’ Social Security Section 60. (Deleted) 61. (Deleted) 62. (Deleted) 63. (Deleted) 64. Fees and allowances 65. (Deleted) 66. (Deleted) 67. (Deleted) 68. Social Security Fund 69. Administration of the Fund 70. Acceptance of grants, donations, etc. 71. Purposes for which the Fund may be expended 72. Expenditure on administration 72A. Withdrawal from Fund for loans or other financing facilities 73. Administrative expenditure Government’s responsibility 74. Holding of property, etc. 74A. Power of the Organization to establish or take over companies 75. Investment of Funds 75A. Investment Panel 75B. (Deleted) 76. Raising of loans 77. Budget estimates 78. Accounts 79. Audit 80. Annual report 81. Annual report and audited accounts 82. Valuation of assets and liabilities 7 8 Laws of Malaysia ACT 4 PART V ADJUDICATION OF DISPUTE AND CLAIMS Section 83. Constitution of Social Security Appellate Board 84. Matters to be decided by the Board 85. Institution of proceedings, etc. 86. Commencement of proceedings 87. Powers of Social Security Appellate Board 88. Appearance by legal practitioners, etc. 89. Benefit not admissible unless claimed in time 90. Reference to High Court 91. Appeal 92. Stay of payment pending appeal PART VI PENALTIES 93. Punishment for false information 94. Punishment for failure to pay contributions, etc. 94A. Court’s order in respect of contributions due and payable to the Organization 94B. Trial for more than one offence 94C. Copy of entry to be prima facie evidence 95. Prosecution 95A. Compounding of offences PART VII MISCELLANEOUS 96. Insured person not entitled to more than one benefit 96A. Dependant not entitled to both survivors’ pension and dependants’ benefit for the same period 97. Exemption of industry or class of industries Employees’ Social Security Section 98. Exemption of persons or class of persons 99. Organization to make representation 100. Exemption of industries belonging to Government or local authority 101. Exemption from one or more provisions of the Act 102. Contributions, etc., due to Organization to have priority over other debts 103. Exercise of powers and functions of the Organization 103A. Disposal of documents after more than three years 104. (Deleted) 105. Power of the Minister to make regulations 106. Duty of Board to review benefits 106A. Rates of benefit 107. Addition of benefits 108. Power to remove difficulties 108A. Joint and several liability of directors 109. Recovery of contribution, etc. 110. Powers of Director General 111. Organization to deal with authorized person 112. Benefit for two or more successive accidents 112A. Electronic submission of documents FIRST SCHEDULE SECOND SCHEDULE THIRD SCHEDULE FOURTH SCHEDULE FIFTH SCHEDULE SIXTH SCHEDULE SEVENTH SCHEDULE EIGHT SCHEDULE NINTH SCHEDULE TENTH SCHEDULE 9 11 LAWS OF MALAYSIA Act 4 EMPLOYEES’ SOCIAL SECURITY ACT 1969 An Act to provide social security in certain contingencies and to make provision for certain other matters in relation to it. [See Appendix] BE IT ENACTED by the Seri Paduka Baginda Yang di-Pertuan Agong with the advice and consent of the Dewan Negara and Dewan Rakyat in Parliament assembled, and by the authority of the same, as follows: PART I PRELIMINARY Short title, extent, commencement and application 1. (1) This Act may be cited as the Employees’ Social Security Act 1969. (2) This Act shall apply throughout Malaysia. (3) This Act shall come into force on such date as the Minister may, by notification in the Gazette, appoint and different dates may be appointed for different provisions of this Act and for different States or for different parts of it. 12 Laws of Malaysia ACT 4 Definitions 2. In this Act unless there is anything repugnant in the subject or context— (1) (Deleted by Act A675); (1A) “Board”, except in Part V, means the Social Security Organization Board established under section 59B; (1B) “child” means a child of the deceased insured person— (a) who is a child under twenty-one years of age and includes— (i) a posthumous child, a dependent stepchild and an illegitimate child of the insured person; and (ii) a child adopted by the insured person under any written law relating to adoption or under any custom or usage, on satisfactory proof of such adoption; and (b) who is a child of any age and is mentally retarded or physically incapacitated and is incapable of supporting himself. (2) “contribution” means the sum of money payable to the Organization by the principal employer in respect of an insured employee and includes any amount payable by or on behalf of the employee in accordance with this Act; (3) “dependant” means any of the following relatives of a deceased insured person, namely: (a) a widow or widower or a child; and (b) if there is no widow or widower or child— (i) a daughter, if married and a minor, or if widowed and a minor; Employees’ Social Security 13 (ii) an unmarried minor brother or sister or a widowed minor sister; (iii) a widowed daughter-in-law; (iv) a minor child of a pre-deceased son; (v) a minor child of a pre-deceased daughter where no father of the child is alive; (vi) a parent; or (vii) a grandparent if no parent of the insured person is alive. (c) (Deleted by Act A814). Provided that the Minister may give such direction as appears to him to be necessary for the removal of hardship to any other relative of a deceased insured person including an invalid widower; (4) “duly appointed” means appointed in accordance with this Act or with the rules or regulations made; (5) Subject to section 3, “employee” means any person who is employed for wages under a contract of service or apprenticeship with an employer, whether the contract is expressed or implied or is oral or in writing, on or in connection with the work of an industry to which this Act applies and— (i) who is directly employed by the principal employer on any work of, or incidental or preliminary to or connected with the work of, the industry, whether such work is done by the employee on the premises of the industry or elsewhere; or (ii) who is employed by or through an immediate employer on the premises of the industry or under the supervision of the principal employer or his agent on work which is ordi