Malaysian Health Minister, Datuk Sri Liow Tiong Lai, spoke to the media that under the new government regulation, which will take effect in 1 January 2011, foreign workers who come to work in Malaysia (except for house maids) have to have medical insurance. The move aims to address government burden of foreign workers’ medical bills. In previous year, foreign workers owed RM18 million to the government and the amount is expecting to increase as the number of foreigners tends to increase every year.
Malaysian Health Minister, Datuk Sri Liow Tiong Lai, spoke to the media that under the new government regulation, which will take effect in 1 January 2011, foreign workers who come to work in Malaysia (except for house maids) have to have medical insurance. The move aims to address government burden of foreign workers’ medical bills. In previous year, foreign workers owed RM18 million to the government and the amount is expecting to increase as the number of foreigners tends to increase every year.
Datuk Sri Liow Tiong Lai notified that at present there are more than 3 millions foreign workers working in Malaysia. The majority of them are employed in construction, cultivation, industrial and service sectors. However, less than 50 percent of the foreign workers are protected by Workmen’s Compensation Schemes. Under the new regulation, all foreign workers have to have medical insurance. They are required to pay insurance premium of RM 120 per year (approximately 1,200 Bath). Employers have to enclose a copy of medical insurance in order to renew foreign workers’ work permit or to hire new foreign workers. According to the report, it is still unclear whether employers or employees shall be responsible to pay for insurance.
Malaysian Employer’s Federation by Mr. Shamsuddin Bardan, Executive Director of the Federation, notified that the Federation has discussed with Ministry of Health and agreed that employees should be responsible for insurance payment. However, it has proposed to reduce insurance premium to an initial of RM 50 as it sees that RM 120 per person is too high for employees.
Office of Labour Affairs in Malaysia notices that additional regulation and requirements created by Malaysian authority for Thai and foreign workers would financially burden employees, which would stimulate Thai labours to go to work in Malaysia illegally, especially those who work in Tom Yum restaurants etc.
