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Poor response from taxis, Uber, Grab to Socso scheme

 | June 8, 2017

Socso may allow cash payments as present online payment system seems to be discouraging many drivers.

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KUALA LUMPUR: For something that has the potential to bring a lot of benefits, the Socso scheme for taxis and hired cars has failed to receive a good response.

Social Security Organisation (Socso) chief executive officer Mohammed Azman Aziz Mohammed admitted the scheme, enabled by the Self-Employment Social Security Act 2017, had not met with positive response from taxi, Grab and Uber drivers since its launch.

“The response has not been very good. So far, only about 120 people have registered,” Azman told reporters during a press conference today.

This is surprising as there are an estimated 100,000 drivers in total. The social security protection scheme will cover them in the event of accidents, injuries or deaths.

Azman said response was likely lukewarm as drivers were required to sign up to pay online, which many may find hard to do.

Azman said for now the drivers may seek assistance from the Socso office to pay via i-Perkeso, an online application.

Due to the poor reception, cash payments may be accepted soon.

Since Socso coverage is compulsory, drivers may be given until the end of the year to sign up.

Separately, Deputy Human Resources Minister Ismail Abd Muttalib said Socso had increased funeral benefits by RM500, from RM1,500 to RM2,000, effective July 1 last year.

He said the 33% increase was in view of the current status of the economy as well as the knowledge that the payout would help reduce the burden of families that have lost their loved ones.

The Maran MP said RM17.6 million had been paid to 11,881 families.

Drivers who fail to enrol under the Socso scheme will not be able to renew their public service vehicle licences.

The government will be making a one-off contribution of RM60 million to the scheme.

* Afiqah Farieza also contributed to this article.

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