Site visit: (From left) Suria FM general manager Roslinda Abdul Majid, Star Media Group managing editor Brian Martin, chief operating officer Lydia Wang, group chief executive officer Chan Seng Fatt, Ramanan, Suria FM radio announcer Nor Shafiza Iskandar Azizan, Star Media Group chief content officer Datin Paduka Esther Ng, Radio Business senior general manager Woo Bee Ay and Rimakmur Digital senior executive Mohammad Azfar Safarizul during the minister’s visit to Menara Star in Petaling Jaya. — LOW LAY PHON/The Star
PETALING JAYA: A new insurance scheme will be created for Malaysians working in Singapore to ensure they remain covered even during their daily cross-border commute, says Human Resources Minister Datuk Seri R. Ramanan.
The new scheme will ensure that the nearly 400,000 Malaysians who cross the border daily from Johor are not left out of social security protection after working hours.
“What happens when you are travelling from your workplace back to your home?
“Where is the coverage during this period?
“That coverage is not provided, so we are coming up with a new scheme for workers going back and forth between Malaysia and Singapore,” Ramanan told The Star in an exclusive interview.
ALSO READ : Ramanan vows good governance at HRD Corp
Ramanan said a feasibility study will be conducted on the initiative, known as the Traveller Scheme or Skim Pengembara, beginning this year.
He added that the new insurance scheme was one of his main priorities since being appointed as minister in December.
“Workers should not be victimised simply because they are working in Singapore.
“As long as you are from Malaysia, I believe that the same standards of safety and care should be given to you,” he added.
It is estimated that more than 1.18 million Malaysians work in Singapore, with between 300,000 and 400,000 commuting across the Causeway every day.
Ramanan said his ministry is in the process of reviewing 26 related laws to ensure that they are relevant and in line with International Labour Organisation (ILO) standards.
Among the outcomes of the review so far was the amendment on the Employment Insurance System (SIP) Act, which was passed at the Dewan Rakyat at the end of last year.
He explained that a moratorium of up to two years is being implemented despite the passage of the law so that stakeholder engagement sessions can be held to gather input from industry players.
ALSO READ : Cross-border workers welcome insurance scheme
“They (industry players) will discuss and come up with a formula that best serves the nation.
“When you are implementing something new, of course you have a segment of the community that is happy and unhappy, so we must find a balance.
“Of course, our ministry must be for the workers, but we must also look after the employers because if they are squeezed too much, workers may be out of a job,” he added.
One of the perks of the SIP, said Ramanan, is that employers pay only a small amount into the scheme, determined by a council of stakeholders.
“Assuming it (SIP) is 40 or 50 sen a day, isn’t this something that you should pay for the safety of yourself and your family who are dependent on you bringing home the bread?
“When they don’t contribute and have met with an unfortunate accident, families suddenly end up in a situation where they have no money.
“This is the same reason why we buy life insurance – it is a very small cost to pay for our safety,” added Ramanan.
As of Nov 30 last year, a total of 57,094 workers, or 85.3% out of 69,923 job-loss cases, had received various SIP benefits amounting to RM437.19mil over the past five years.
