Transcript CHAPTER FOUR TYPE OF SOCIAL SECURITY BENEFITS

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CHAPTER
FOUR
TYPE OF
SOCIAL SECURITY
BENEFITS
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Objectives of the lecture:

After completing this lecture, the
students should be able to:

Elaborate the medical care, sickness and
maternity benefits
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Elaborate the unemployment, employment injury
and invalidity benefits

Elaborate the old-age, family and survivors
benefits

Elaborate the social security for migrant workers
and dependents
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4.1 : MEDICAL CARE, SICKNESS AND
MATERNITY BENEFITS
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MEDICAL CARE
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The medicare program is designed to meet the
problem of medical expenses of the aged and
disabled. (Rejda:1994)
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The medical benefit is provided free to insured
persons who suffer from an employment injury.
Medical care, both inpatient or outpatient, is
provided through a system of panel doctors
(insurance medical practitioners) and in all
government clinic and hospitals
[s 37 Social security Act 1971]
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Organizational benefits/discretion
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MEDICAL CARE, SICKNESS AND MATERNITY BENEFITS
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SICKNESS BENEFITS
If the employees fall sick, they are entitled for
the medical care subject to the eligibility
coverage and qualifying conditions. (family)
Organizational benefits/discretion
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MEDICAL CARE, SICKNESS AND MATERNITY BENEFITS
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MATERNITY BENEFITS
To sustain & care for herself & baby over the period,
immediately before & after confinement
Maternity Protection Convention 1919 No (3)
Maternity leave
Maternity allowance
S 37 (1)(a) Employment Act 1955]
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60 days maternity leave
Maternity allowance
Extension of maternity leave
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4.2 : UNEMPLOYMENT, EMPLOYMENT
INJURY AND INVALIDITY BENEFITS
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UNEMPLOYMENT BENEFITS
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Unemployment insurance is a federal-state
program that provides for the partial replacement
of income during periods of short-term
involuntarily unemployment, with demonstration
of need and fulfill certain eligibility requirements.
(Rejda:1994)
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EMPLOYMENT INJURY
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It means a personal injury to an employee caused
by accident or an occupational disease arising out
of and in the cause of his employment in an
industry to which the act applies
[S2(6) Social Security Act 1969]
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UNEMPLOYMENT, EMPLOYMENT INJURY AND INVALIDITY
BENEFITS
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INVALIDITY BENEFITS
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Types of invalidity
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Physical invalidity / Occupational invalidity / General
Invalidity
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The pension is payable to an insured person
under 55 years of age who is suffering from an
invalidity due to illness or infirmity from whatever
cause as confirmed by a Medical
Board and who
has fulfilled the qualifying
contribution
conditions
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[ s 20 Social Security Act 1971]
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4.3 : OLD-AGE, FAMILY AND SURVIVORS
BENEFITS
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OLD AGE BENEFITS
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Basically it refers to the monthly
retirement, disability and survivors
benefits that are paid under the program,
under the social insurance principles. It
provides only a minimum floor of income
protection against the various risks
covered.
(Rejda:1994)
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It is important in promoting economic
security for the aged to reduce the
problem of the loss of earned from
retrenchment, retired etc.
Eg: US
OASDI
Malaysia EPF
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OLD-AGE, FAMILY AND SURVIVORS BENEFITS
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FAMILY AND SURVIVORS BENEFITS
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Social security survivor benefits provide considerable
protection against economic insecurity because of
premature death. The benefits are also inflation
proof because of the automatic cost-of-living
provisions.
Organizational discretionary
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Eg: US -
survivor benefits are such as
Unmarried children under age 18
Unmarried Disabled children etc
Malaysia-
survivor benefits are such
Survivor Pension [Soc Sec Act]
Dependent Benefit of E’ment
Injury Scheme [Soc Sec Act]
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4.4 : SOCIAL SECURITY FOR MIGRANT
WORKERS AND DEPENDENTS
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SOCIAL SECURITY FOR MIGRANT WORKERS
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Initially, foreign workers are protected under
Employees Social Security Act, but then it was
resolved in 1st April 1993 due several reasons.
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There are also fund provided for foreign workers
under EPF Act, but it was also resolved in 1st
August 1998.
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Now, their benefits are under workmen’s
Compensation (Foreign Worker’s Compensation
Scheme) (Insurance) Order 1998.
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SOCIAL SECURITY FOR MIGRANT WORKERS AND
DEPENDENTS
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The benefits are such follows:
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Insurance scheme, premium payable by the
employer to the insurer RM96 per annum for each
foreign workers
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Additional benefits.
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The insurer, in addition to its contractual
obligations to pay in accordance with the policy of
insurance subscribed by the employer in favour of
his workman, shall provide under the Scheme the
following additional benefits without imposing any
additional premium on the employer:
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SOCIAL SECURITY FOR WORKERS AND DEPENDENTS
MIGRANT
(a) a sum of two thousand ringgit in the event of
death of a workman from personal injury
sustained in an accident which arises out of
and in the course of his employment;
(b) where the personal injury is sustained in
an accident which occurs outside the working
hours of a workman –
(i)
a sum of RM20,000 in the event of
death or permanent total disablement; &
(ii)
a sum of money equivalent to the
amount of compensation awarded
under section 8 of the Act for, and in the
event of, permanent partial disablement
or temporary disablement; and
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SOCIAL SECURITY FOR WORKERS AND DEPENDENTS
MIGRANT
(c) a sum of RM4,800 or the actual expenses
incurred in repatriating a workman to his
country of origin in the event of his death or
permanent total disablement, whichever is
lesser.
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TUTORIAL
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Please identify any issues regarding on the various
types of social security benefits.
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Identify the various types of Social Security benefits
in your country.
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