PERKESO urges locals to stay with Lindung 24 Jam despite shift to optional contributions
PERKESO has announced that contributions to the Lindung 24 Jam insurance scheme will become optional for local workers starting July 13. Officials are urging employees to maintain their coverage, citing the scheme's effectiveness in providing financial support for non-work-related accidents.
Why it matters
This policy shift impacts the social safety net for local workers and raises questions about the long-term financial sustainability of the PERKESO insurance fund.
KUALA LUMPUR: Contributions to the PERKESO Lindung 24 Jam scheme will be optional for local workers starting Monday (July 13), following a Cabinet decision and directives from the Human Resources Minister.
PERKESO group chief executive officer Datuk Seri Dr Mohammed Azman Aziz Mohammed said PERKESO had taken note of the policy shift and added that the scheme remains mandatory for foreign workers.
He urged local workers to continue contributing, saying the low monthly deduction should be seen as an important safeguard providing income replacement for accidents outside working hours, not a burden.
“According to statistics, PERKESO recorded an average of about 27 cases per day for Lindung 24 Jam benefit distribution, totaling almost RM2mil within a month of the scheme taking effect,” he said at a special press conference at PERKESO headquarters here on Thursday (July 10).
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