A foreign worker was injured at work. What claims are available?

Foreign workers make up a large part of the workforce in construction, manufacturing, plantations and services. When a foreign worker is injured, questions arise quickly: is the worker covered by SOCSO (PERKESO), can the employer be sued, and what happens if the worker is sent home? This guide gives an overview.

Is the foreign worker covered by SOCSO?

The Employees' Social Security Act 1969 (ESSA) applies to all industries having one or more employees (s.3(1)), and all employees in those industries must be insured (s.5(1)). The Act does not apply to persons described in the First Schedule (s.3(3)).

Paragraph (12A) of the First Schedule excludes a foreign worker who does not possess a valid pass or permit issued by the Director General of Immigration for working in Malaysia.

The practical result:

• A documented foreign worker with a valid pass is not excluded on that ground, so the employer must register and contribute, and the worker can claim employment injury benefits such as medical benefit, disablement benefit and, on death, dependants' and funeral benefits (s.15). Check the PERKESO portal for the current scheme details for foreign workers.
• An undocumented worker is excluded from ESSA by paragraph (12A).

Can the worker sue the employer?

For an insured worker, section 31 of ESSA bars recovering compensation or damages from the employer or its servants for an employment injury, except for motor vehicle accidents covered by compulsory third-party insurance. So for a documented foreign worker, SOCSO is usually the remedy against the employer.

The position of an undocumented worker, who is outside ESSA, is different and depends on the facts and other law. Take advice; the worker should not assume they have no rights.

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Claims against third parties

As with local workers, section 31 does not protect people who are not the employer. A foreign worker may sue a negligent main contractor, occupier, developer, equipment supplier or driver. OSHA 1994 duties apply to all workers, local or foreign, though OSHA itself does not create a civil cause of action (s.59).

Practical issues

• Passports and documents: the worker should keep copies of the passport, pass and employment contract.
• Medical records: obtain copies before leaving Malaysia.
• Repatriation: a worker who returns home can still pursue a claim through lawyers in Malaysia, but evidence and medical examinations are easier to arrange before departure.
• Language: the worker is entitled to understand documents before signing; do not sign releases or settlement letters that are not understood.
• Embassy: the worker's embassy may provide support.

What should I do first?

1. Get treatment and keep all medical records.
2. Ask the employer to report the accident to PERKESO, and get a copy.
3. Keep copies of the passport, work pass and contract.
4. Photograph the scene and note witnesses.
5. Seek advice before leaving Malaysia or signing any document.

Example

A documented foreign factory worker loses two fingers in an unguarded machine. His employer registered him with PERKESO, which pays employment injury benefits. Section 31 bars a claim against the employer. The machine had been supplied with a missing guard by a maintenance contractor, so his lawyer considers a negligence claim against that contractor.

Common mistakes

• Assuming foreign workers are never covered by SOCSO.
• Employers not reporting the accident, hoping to avoid scrutiny.
• Workers signing documents they cannot read.
• Leaving Malaysia without medical records or legal advice.

When to speak to a lawyer

Speak to a lawyer if a foreign worker is seriously injured, if SOCSO coverage is disputed, or if a third party may be responsible. See our civil litigation page; you can also contact us.

Frequently asked questions

Can the employer cancel the work pass because of the injury?

Immigration and employment issues are separate from the injury claim. Take advice before any cancellation or repatriation takes place.

Can the family abroad claim if the worker dies?

SOCSO dependants' benefit may be payable to dependants, and a dependency claim against a negligent third party may be possible under the Civil Law Act 1956.

Is there a time limit?

Personal injury claims are generally subject to six years under section 6(1)(a) of the Limitation Act 1953. SOCSO claims have their own time limits.

Sources & fact check

Legal points in this article were checked against the primary sources below. The law can change; this is general information, not legal advice.

1. Employees' Social Security Act 1969 (Act 4), AGC Laws of Malaysia
2. Social Security Organisation (PERKESO / SOCSO), official portal
3. Occupational Safety and Health Act 1994 (Act 514), AGC Laws of Malaysia
4. Immigration Act 1959/63 (Act 155), AGC Laws of Malaysia
5. Civil Law Act 1956 (Act 67), including sections 7, 8, 12 and 28A, AGC Laws of Malaysia
6. Limitation Act 1953 (Act 254), including section 6, AGC Laws of Malaysia

Fact-checked on 18 Oct 2026