502 companies fined RM350k over unregistered staff

Farhana Syed Nokman

KUALA LUMPUR: Ops Kesan, which kicked off on April 1, has slapped 502 employers with compounds totalling RM356,000 for failing to register their employees with the authorities.

The operation by the Social Security Organisation (Socso) aims to crack down on employers who have yet to register their workers with the organisation.

Socso chief executive officer Datuk Dr Mohammed Azman Aziz Mohammed said the intention of the operation is not to burden employers, but to ensure that their employees are insured and protected.

“We want to ensure that workers are adequately protected, and we have no intention of punishing any employer,” he said after the launch of the National-Level Ops Kesan 2017, held at Wisma Perkeso here, today.

Azman also said the door-to-door operation will continue until the end of the year.

“Starting from this month, we will issue compound notices to defiant employers immediately.

"The compound depends on the severity of the offence – between RM500 and RM4,000 (maximum) per offence.

“This operation will educate employers on the importance of complying with Section 4 and 5 of the Employees’ Social Security Act 1969,” Azman added.

From 2009 until Dec 31, 2016, 16,208 compounds were issued to errant companies, totalling about RM12 million.