The Wage Subsidy Programme (WSP) was a Malaysian government financial assistance scheme introduced during COVID-19 to help employers retain staff. It’s no longer active, applications closed in September 2020, but it’s worth understanding what it covered, since similar wage subsidy schemes tend to reappear during economic downturns and employers who understand how the last one worked are better positioned if one is announced again.
What the Programme Covered
The WSP paid wage subsidies to employers for local employees earning RM4,000 a month or below, for a period of up to 3 months, disbursed through PERKESO. It ran from 1 April 2020, with the final application deadline on 15 September 2020.
Who Wasn’t Eligible
The exclusions are useful to know as a template for how future schemes are typically structured:
- Employers or companies registering and operating on or after 1 January 2020
- Employers and employees who hadn’t registered or contributed to SOCSO before the scheme’s start date
- Employees receiving other overlapping government financial aid in the same month
- Employees earning above the wage threshold
- Public sector employees, statutory bodies, and local authorities
- Foreign workers and expatriates
What to Watch For If a Similar Scheme Returns
Government wage subsidy programmes in Malaysia are typically administered through PERKESO and tend to require: an employee list in SOCSO format, employer bank account verification, business registration documents (SSM/ROS/ROB), and supporting financial documents for larger applications. Keeping these on hand in an organised form means faster applications if a new scheme is introduced.
Frequently Asked Questions
Is the Wage Subsidy Programme still active?
No. The original WSP ended in September 2020. Check PERKESO’s official announcements for any current wage subsidy schemes.
Which agency administered the WSP?
PERKESO (SOCSO), through its Prihatin portal.
Staying Ready for Future Schemes
Government relief schemes move fast once announced, and employers who already have their statutory documentation organised apply faster and with fewer rejections. If you’d rather have your payroll and statutory records audit-ready at all times, talk to Righthouse’s payroll outsourcing team.
