Self-employed taxi, Grab, Uber drivers to be covered under EIS

Some 100,000 self-employed taxi, Uber and Grab drivers will be covered under the Employment Injury Scheme (EIS) after the Senate passed the Self Employment Social Security Bill 2017 yesterday.

Deputy Human Resources Minister Ismail Abdul Muttalib said the scheme would take effect on June 1 and all drivers registered with the Land Public Transport Commission (Spad) are eligible for the scheme.

He said the government had allocated a fund of RM60 million for the implementation of the insurance scheme.

"The scheme is first introduced to self-employed drivers. Gradually it will be extended to other sectors such as farmers, traders, smallholders, fruit sellers and others.

"Our aim is to have everyone in the country covered by insurance," he told reporters after a flood relief presentation ceremony at Sekolah Kebangsaan Chenor in Maran today. 

According to Ismail, a survey found that about 2.48 million people in the country qualify for the protection scheme.

Commenting on the scheme, Ismail said self employed drivers only had to contribute 1.25 percent of their monthly income.

"The annual contribution payment to Social Security Organisation (Socso) ranges from RM157.20 (RM13.10 per month) to RM592.00 (RM49.40 per month) depending on the income of the insured.

"The scheme is a form of protection for the taxi drivers, because should they be involved in an accident while on duty, they will be able to make a claim for compensation," he said.

- Bernama