Stern action against employers abusing wage subsidy programme


The Social Security Organisation received 281 complaints from workers against employers who still failed to pay their wages despite receiving the wage subsidy assistance. – The Malaysian Insight file pic, October 18, 2020.

EMPLOYERS found to have made false claims to obtain Wage Subsidy Programme funds will be subjected to stern action, including being stopped from receiving the aid, suspension of payments and having to repay the amount received.

Deputy Human Resources Minister Awang Hashim said apart from that, employers who receive the assistance but abuse it by not paying the workers’ wages would also face legal action.

“The Human Resource Ministry warns action would be taken, after the Social Security Organisation (Socso) detected 30 false claims and misuse of the programme funds since it was introduced in April.

“Besides that, Socso also received 281 complaints from workers against employers who still failed to pay their wages despite receiving the assistance,” he said when met by reporters after attending the Kedah Regional Development Authority College Development briefing today.

Awang said Socso had collaborated with the Malaysian Anti-Corruption Commission in investigating employers identified as offenders.

Socso, together with the ministry’s legal division, will identify other legal actions that can be taken against errant employers. – Bernama, October 18, 2020.


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