Kalkulator Faedah Pemberhentian Malaysia (SIP Prihatin)

Perbaharui Insurans Auto

Malaysia Retrenchment Benefits Calculator

SIP Prihatin(Sistem Insurans Pekerjaan)

Suppose you’re like most heads of Human Resources departments (HR) or employees in the country today. The concept of retrenchment benefits in Malaysia and what comes immediately after employment termination and lay-off mightn’t be evident to you. As a strong brand built on the drive to add value to people’s lives in the country, we’ve extensively analyzed the Employment Act of 1955 and the Benefits Regulations of 1980. Backed by our in-depth knowledge of these areas and an understanding of the code of conduct in most countries’ workplaces, we’ve created a simple and effective way for you to calculate retrenchment benefits in Malaysia.

Note: This calculation only applicable to Loss of Employment (LOE*) starting from 1st January 2021 until 30th June 2022. For LOE happened before 1st January 2021, click HERE to calculate the benefit. Benefits are calculated based on your previous assumed salary and your Contributions Qualifying Conditions (CQC) i.e. the number of monthly contributions you have paid before.

Benefit Calculator (SIP PRIHATIN)

Loss of Employment (LOE) Date **

Only applicable for the LOE occurred between 1 July 2020 until 31 December 2021

Wage

(Enter an amount)

Monthly Contribution

(Paid monthly)

Assumed Wage

Average Assumed Wage

(Average of 6 months' wages before LOE date)

No. of Training Day(s)

(If relevant)

Training Allowance (25%)


Eligible
  • Normal retrenchment and redundancy
  • VSS/MSS (Voluntary/Mutual Separation Scheme)
  • Closure of the company due to natural disasters
  • Bankruptcy or closure of the company
  • Constructive dismissal
  • Downsizing
  • Resignation (sexual harrasment/threats) / Ordered to perform dangerous duties that are not within the job scope
Not Eligible
  • Employee misconduct
  • Voluntary resignation
  • Retirement
  • Expiry of fixed-term contract/project completion
Reminder
  • The benefits calculator utilizes a generic formula based on the mean average wage and benefit payment rates.

  • The average assumed wage is calculated by averaging 6 months' wages before the LOE date.

  • The total amount payable depends on the type of benefit one is eligible to receive, example: JSA No 1.

  • The total amount payable depends on the monthly contribution amount, the number of monthly contributions, and the type of benefits one is eligible for.

Frequently Asked Questions About Malaysia Retrenchment Benefits
  • What is Retrenchment Benefit and how does it work in Malaysia?
  • Who is eligible for Retrenchment Benefit in Malaysia?
    In Malaysia, workers who have been retrenched or laid off from their job due to reasons such as downsizing or restructuring may be eligible for Retrenchment Benefit. To be eligible, the worker must typically meet certain criteria, such as having been employed for a certain minimum period, being a member of a social security scheme, and not having voluntarily resigned from their job. The exact eligibility criteria for Retrenchment Benefit may vary based on the specific circumstances of the retrenchment and the employer's policies. It's important for affected workers to review the terms and conditions of their employment contract, as well as any relevant laws or regulations, to determine their eligibility for Retrenchment Benefit.
  • What documents do I need to apply for Retrenchment Benefit in Malaysia?
    The specific documents required to apply for Retrenchment Benefit in Malaysia will depend on the employer, the government scheme providing the benefit, or the social security scheme involved. However, in general, the following types of documents may be required:
    1. Termination or retrenchment letter from the employer
    2. Employment of Employment (EPF) statement
    3. Identification documents such as passport or identification card (IC)
    4. Pay slips and bank statements for the past three to six months
    5. Proof of address, such as a utility bill

    It's important to note that the list of required documents may vary based on the specific circumstances of the retrenchment and the entity providing the benefit. Affected workers should contact their employer or the relevant government or social security agency for information on the specific documents required to apply for Retrenchment Benefit in Malaysia.
  • Can I appeal a denied Retrenchment Benefit claim in Malaysia?
    Yes, it is possible to appeal a denied Retrenchment Benefit claim in Malaysia. The specific appeal process will depend on the employer, government scheme, or social security scheme involved. In general, workers who have had their Retrenchment Benefit claim denied may be able to file a formal appeal with the relevant agency or entity, providing additional documentation and evidence to support their claim. The appeal process may involve a review of the decision by a higher authority, a hearing, or a review by a specialist committee. If the appeal is unsuccessful, affected workers may have the option to take their case to the courts or a dispute resolution forum. It's important for affected workers to understand their rights and the appeal process, and to seek the advice of a legal professional if necessary.
  • How long does it take to receive Retrenchment Benefit in Malaysia?
    The length of time it takes to receive Retrenchment Benefit in Malaysia will depend on the specific circumstances of the retrenchment and the entity responsible for providing the benefit, such as the employer, government scheme, or social security scheme. In general, workers who are eligible for Retrenchment Benefit should expect to receive their first payment within a few weeks to several months of submitting their claim. However, the processing time can vary based on factors such as the volume of claims, the complexity of the claim, and the requirement for additional documentation or information. Affected workers should contact the relevant agency or entity for information on the expected processing time for their Retrenchment Benefit claim.
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