Nation

Socso: At least 30 companies have abused Wage Subsidy Programme

KUALA LUMPUR: The Social Security Organisation (Socso) has singled out 30 employers nationwide for allegedly abusing the Wage Subsidy Programme, meant to safeguard employment and provide support for businesses.

Socso chief executive officer Datuk Seri Dr Mohammed Azman Aziz Mohammed said based on complaints made to Socso, the 30 companies, which made false claims, are in several states including Kedah (eight cases), Selangor (six) and Kuala Lumpur (five).

Three cases of misuse were detected in Perak, two each in Johor and Pahang, and one in Kelantan, Sarawak, Sabah and Penang.

"We regret that there are quarters who have taken advantage of the government's initiative to help (struggling) employers and employees.

"To those out there who have made false claims, or who did not meet the criteria needed (for the Wage Subsidy Programme), please come forward and return the money.

"If you have not channelled the funds to your employees, please do so," he told a press conference today.

Azman also confirmed that a managing director of a company had been detained by the Malaysian Anti-Corruption Commission (MACC) for allegedly falsifying documents claiming that the company had suffered an income cut of 50 per cent.

The payment made for the Wage Subsidy Programme to the company under investigation is RM415,000, he added.

"This is just one out of many companies that we've identified and we will cooperate with the MACC and provide them with the necessary information," said Azman.

He added that to date, RM11.8 billion in wage subsidies have been paid to employers.

In March, Prime Minister Tan Sri Muhyiddin Yassin announced a Wage Subsidy Programme as part of the Prihatin Rakyat Economic Stimulus Package (Prihatin) to help employers retain employees and prevent job loss during the Covid-19 pandemic.

Most Popular
Related Article
Says Stories