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Only 7 per cent cabbies, e-hailing drivers contribute to Socso

KUALA LUMPUR: With 100,000 taxi and e-hailing drivers in Malaysia, only seven per cent or 7,000 are making contributions towards the Social Security Organisation (Socso).

This, after the government made it necessary for these drivers to contribute through the Self-Employed Social Security Scheme, beginning Nov 1.

Human Resource Minister M Kulasegaran today said the ministry is setting a target of getting all 100,000 taxi and e-hailing drivers to be covered under Socso from next year.

“93 per cent of them have no protection and they are in the most risky group (accidents).

“The amount they pay for this contribution is a minimum of RM154 per year or between RM12 to RM13 per month.

“So we will campaign and meet all taxi drivers and e-hailing drivers, and I hope 100,000 people will be protected from next year,” he said.

Asked why many taxi drivers did not want to contribute to Socso, Kulasegaran said it was because they were not aware of the minimum rates or the benefits.

“We need to educate them," he said.

Kulasegaran said this when met after chairing the 2018 National Labor Advisory Council (NLAC) Extraordinary Meeting at the Parliament today, which was attended by representatives from the Malaysian Trades Union Congress (MTUC) and the Malaysian Employers Federation (MEF).

Meanwhile, Kulasegaran said his ministry together with the Transport Ministry, have agreed in principle not to allow cabbies and e-hailing drivers to renew their permits if they did not contribute to Socso.

“I suggested for it to start from Jan 1 next year, but it is up to the Transport Ministry to implement it and we are open should taxi drivers and e-hailing drivers need time,” he said.

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