Effective October 1, 2024, The Social Security Organisation (SOCSO) salary ceiling for contributions has been increased from RM5,000 to RM6,000 per month by the Ministry of Human Resources,
This change is introduced through amendments to the Employees’ Social Security Act 1969 and the Employment Insurance System Act 2017. The increase in the salary ceiling directly impacts employer contributions, especially for those with employees earning between RM5,000 and RM6,000 per month. As of October 1, 2024, employers will need to adjust their payroll systems to comply with the new contribution rates. This adjustment affects both local and foreign workers.
The Rate of Contribution Employment Insurance System is also updated for employees earning between RM5,000 and RM6,000, This adjustment is not applicable for foreign workers.
The Position Statement has been revised to include more details about these legislative updates and the patch availability. We encourage our customers to review the position statement regularly to stay updated. The Position Statement can be found on My Oracle Support,, Document ID 2973834.1
Note:
If there are further amendments to this legislation, then appropriate action will be taken and communicated to customer/s accordingly.