Saturday, October 11, 2014

Malaysian workers want UNEMPLOYMENT BENEFITS just like Thailand?

Thailand has an unemployment benefit .... it makes sure that workers out of a job will get 50% salary of  RM1,500-00 per month, whichever less, for SIX(6) months(180 days) while they find their next job... and the government will also assist with the job hunting...

Wait, even if you RESIGN, you also get unemployment benefits - but only 30% of the salary of RM1,500, whichever less, for THREE(3) Months(90 Days)...

In Malaysia, Budget 2015 against fails to address the risk of unemployment faced by workers, and the need for government assistance for the worker and their family during such periods. This should be a duty and responsibility of the government - not some private insurance scheme... it is a matter maybe for the Welfare Department...assistance to worker and family as we struggle to find them  another suitable job.... 

Today, the modern family in Malaysia has numerous monthly expenses - which need to be paid monthly, if not there may be dire consequences including the loss of home, car, etc... Yes, there are obliogations to pay monthly loan repayments for our homes, cars, etc... there is that CELCOM, ASTRO and amenities that need to be paid... and if we do not, they may cut the phone, ASTRO, etc... 

Thanks to the Malaysian government, employment is becoming more and more precarious. Short-term employment contracts ....when these contracts end, of course there 'may' be a period of unemployment before the worker finds another job. Oh yes, while during employment, obviously the worker would not be able to go for interviews, etc .... with regard finding the next job. Many workers on such contracts HOPE that employers will extend their contract, or at best make them regular employees until retirement....but alas it seldom happens. Even if there is still work that requires a worker, many a employer will just re-hire a NEW worker. 

Also real is that when exploited workers claim rights, employers today, even the government-linked employers, tend to respond by termination of the worker. Again, workers land in the pool of unemployment....

Well, we have needed UNEMPLOYMENT BENEFITS for workers for a long long time ....and now Malaysia is talking about it....but nothing concrete. This is something that should not be privatized - but should be handled directly by the government. 

Thailand has an unemployment benefit .... it makes sure that workers out of a job will get 50% salary of  RM1,500-00 per month, whichever less, for SIX(6) months(180 days) while they find their next job... and the government will also assist with the job hunting...

Wait, even if you RESIGN, you also get unemployment benefits - but only 30% of the salary of RM1,500, whichever less, for THREE(3) Months(90 Days)...


In the case Unemployment Benefit

Criteria and Entitlement Benefits

Having made contributions towards unemployment for not less than 6 months within a period of 15 months prior to unemployment

Terms and conditions giving rise to the entitlement:

  1. Must apply for registration of the unemployed at the State Unemployment Office within 30 days without having to wait for the Unemployment Certificate from the Employer as to declare the entitlement tentatively.
  2. Is capable of performing the work and is ready to take on suitable job as offered.
  3. Must not reject the job training.
  4. Must report to the Employment Office for not less than 1 time per month.
  5. The unemployed must not be terminated from employment thanks to:
    • Dishonest on duty
    • Commission of criminal offense to the detriment of the employer
    • Serious infringement upon working rules, or regulation or lawful working order
    • Abandoning the duty for 7 days consecutively without good reasons
    • Recklessness which causes serious harms to the Employer
    • Having been sentenced to imprisonment by Court judgment.
  6. Must not be the person entitled to old age benefit.
  7. Shall be entitled to receiving the benefit starting from the 8th day from the date of unemployment with the last employer.
  8. Is not a voluntary insured under Section 39.

The Entitlement Benefits you shall receive:

In case of termination of employment:

  • Unemployment benefit for not more 180 days per year at the rate of 50 % of the wage calculated on the basis of maximum contributions of 15,000 Baht.

In case of resignation:

  • Unemployment benefit for not more than 90 days per year at the rate of 30 percent of the wage calculated on the basis of maximum amount of contributions but not more than 15,000 Baht shall be payable. If in the duration of 1 year, there was more than 1 application for the unemployment benefit, the counting of the unemployment benefit receiving period in total shall not exceed 180 days; the compensation benefit for loss of income shall be paid on monthly installment basis by crediting to the Bank Account as notified by the Insured.

Evidence to be used in Applying for Compensation Benefit

  • Application Form for Unemployment Benefit (SorPorSor. 2-01/7)
  • The Citizenship Identity Card
  • One photograph of 1 in size
  • Employment Certificate or a copy of the resignation letter of the Insured (SorPorSor.609). In the event of unavailability of the Form SorPorSor. 6-09, application for registration of unemployment can also be made.
  • A letter or an order from the employer terminating the employment (if there is any).
  • A copy of the first page of the Bank Savings Account on which the Account Name and the Account Number belonging to the Insured are shown.

PROCEDURE AND METHOD OF APPLYING FOR COMPENSATION BENEFIT

  1. Must apply for registration of unemployment at the Office of Employment, the Department of Employment.
  2. Complete the Registration of Unemployment Form together with the following evidence:
    • The Citizenship Identity Card
    • One 1 photograph.
  3. Complete the Application Form for Unemployment Benefit together with the following evidence:
    • Letter of Termination of Employment or a copy of the Notice of Leaving Employment (SorPorSor.6-09) or a letter or an order from the employer terminating the employment (if there is any).
    • A copy of the first page of the Bank Savings Account on which the Account Name and the Account Number are shown.
  4. The officer of the Employment Office shall conduct an interview/ an inspection of the qualification and records of employment.
  5. The officer of the Employment Office makes available job vacancies in 3 locations for the unemployed insured to choose.
  6. If a suitable job can not be found, the officer of the Employment Office will coordinate the effort by sending the unemployed insured to receive vocational (skill) training as necessary. If the insured returns to work in the same place of business or refuse the work or job training provided and fails to show up as required, the Office of the Social Security shall suspend the payment of benefit immediately.
  7. The officer shall enter the status of the insured in the case of unemployment in the central database.
  8. The officer of the Office of Social Security shall retrieve information on the unemployed insured for a review according to the terms of entitlement.
  9. Having had complete qualification, the Office of the Social Security shall transfer the compensation benefit for loss of income according to the Insured 's entitlement through the Insured 's bank account once a month via 8 commercial banks, namely, Krungthai Bank Plc; Bank of Ayudhya Plc; Bangkok Bank Plc; Siam Commercial Bank Plc; Kasikorn Thai Bank Plc; Thai Military Bank Plc; Siam City Bank Plc ( commencing 1 October 2006) and The Islamic Bank of Thailand (commencing 1 January 2007).
  10. If the Applicant for compensation benefit is not satisfied with the order for the compensation benefit payment, an appeal can be filed within 30 days of receipt of the order.
Chart of Social Security Operation in case of Unemployment 

Source: Social Security Office Thailand....

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