Assignment on the Public Authority for Social insurance

Before starting and digging deep about the Public Authority for Social insurance, we will be discussing that what does this PASI (Public Authority for Social Insurance) means and what is it? Well this is the social security law and all of its amendments are being promulgated by the Sultani Decree that is 72/91 and this came into force back in 1st July, 1992 which is the Social Security Law. Talking from the Article no 5 of the social security law it provides that complete Public Authority for the Social Insurance (PASI) along with the financial and administrative independence and it is also responsible for the implementation of the social security law.

This social security law aims for providing the security against the people who are aged, disabled, death or the any of the occupational injury as well as any kind of the disease. Thereby the social stability for the insured people along with their dependents as well. This Social Security Law is only applicable to the Omani Nationals that are employed in the Sultanate of Oman. (Almutairi, 2014)

Contributions and Obligations of the Employer’s:

Under the law of Social Security, employer is completely responsible for the payment to the PASI in respect for each of the employee that is relevant and then all of the payments need to be made or done on the terms of the actual income that is being drawn by the different employees. In the present times, employer is basically required to contribute a total of almost 11.5 percent to the PASI (10.5% to the gross salary of different employees, an addition of 1% for all of the occupational injuries along with those who have any disease). In short employee is supposed to contribute almost an equal amount of 75 to its gross salary. (Cuiying, 2019)

Almost each of the company in Oman has easy and online access to the scheme of PASI, which set out all of the details for each of the Omani employee along with his or her salary. On the basis of a standard practice, in the month of January for almost every year, this PASI updates all of the contributions that each of the employee along with the employer need to make that is based on the standard for minimum 3% of the increment to the gross salary.

Next part is that is it compulsory for the different companies to comply with all of the rules under the Social Security Law? Or different companies can also provide scheme on their own?

Well according to the Article no 16 of the social security law requires an employer to undertake different payments of all the full social subscriptions of the security to PASI, and then the employer itself is completely responsible for the payment of all these subscriptions and can even deduct the contribution of employee from the salary of secured employee’s.

If the company has different savings fund scheme for the workers through which the Omani employees in actual receive more than the PASI entitlement which the employer is supposed or required to contribute in it. Then all such kind of the scheme can be accepted and then the employer is also exempted from making of the PASI contributions on the behalf of its different certain employees. However if it lies below the factor what is being defined under the law of social security then it is very important to note down that company can be foreseen like the breaching all of the Omani Labor Law along with the law of social security.

According to the Article number 7 of the social security law gives or tells that an employee has almost one year from a date of leaving to bring down any of the claim regarding PASI. In such kind of the case, employee will almost have one year from when he or she leaves to raise the grievance against a certain company. (Lindbeck, 2018)