Malaysia legislation

Section 18

of EMPLOYEES’ SOCIAL SECURITY (AMENDMENT) ACT 2026

Section 18

RATES OF CONTRIBUTIONS

The principal Act is amended in the Fourth Schedule—

(a)

by substituting for paragraph 1 the following paragraph:

“1.  (1)  The daily rate of benefit is as follows:

(a)

for temporary disablement, an amount equivalent to eighty per cent of the assumed average daily wage for employment injury and non-employment injury provided that for non-employment injury—

(i)

an amount equivalent to forty-eight per cent of the assumed average daily wage for the First Phase;

(ii)

an amount equivalent to sixty-four per cent of the assumed average daily wage for the Second Phase; and

(iii)

an amount equivalent to eighty per cent of the assumed average daily wage for the Third Phase; and

”.

(b)

for permanent total disablement, an amount equivalent to ninety per cent of the assumed average daily wage for employment injury and non-employment injury provided that for non-employment injury—

(i)

an amount equivalent to fifty-four per cent of the assumed average daily wage for the First Phase;

(ii)

an amount equivalent to seventy-two per cent of the assumed average daily wage for the Second Phase; and

(iii)

an amount equivalent to ninety per cent of the assumed average daily wage for the Third Phase.

(2)

For the purposes of this paragraph, “assumed average daily wage” means the assumed average daily wage of the insured person who sustains the employment injury and non-employment injury resulting in such disablement.”;

(b)

in paragraph 3, by inserting after the words “employment injury” the words “or non-employment injury”;

(c)

in paragraph 4, by substituting for the Schedule the following schedule:

(1)

Subsection

(2)

Actual monthly wage of the month

(3)

First Phase

(4)

Second Phase

(5)

Third Phase

(6)

Corresponding assumed monthly wage for the month

First

Category

Second

Category

First

Category

Second

Category

First

Category

Second

Category

Section 18 — EMPLOYEES’ SOCIAL SECURITY (AMENDMENT) ACT 2026