Lindung 24 Jam contributions now optional for local employees, mandatory for foreign workers, says HR minister

KUALA LUMPUR, July 9 — The government has decided that contributions to the Non-Employment Injury Scheme (Lindung 24 Jam) under the Social Security Organisation (Perkeso) will no longer be mandatory for local workers and will instead be voluntary, with immediate effect.

Human Resource Minister Datuk Seri Ramanan Ramakrishnan said, however, that contributions to the Lindung 24 Jam Scheme would remain mandatory for foreign workers and would continue to be implemented in accordance with existing legal provisions.

He said the Cabinet made the decision after considering public feedback on the implementation of the scheme.

“Local workers may now choose whether to contribute to the Lindung 24 Jam Scheme based on their individual needs and circumstances.

“The implementation mechanism and the process for voluntary participation by local workers will be announced by Perkeso soon,” he said in a statement today.

Although participation in the scheme is now voluntary for local workers, Ramanan said the scheme remains an important initiative that provides social security protection to workers who are involved in accidents outside working hours and away from the workplace, including while carrying out their daily activities.

He said the Human Resource Ministry would review the scheme’s implementation mechanism by the end of the year, including its policy direction, implementation effectiveness and the sustainability of its funding, to ensure it continues to benefit the people.

“If necessary, the outcome of the review will be tabled in Parliament under the proposed amendments to the Employees’ Social Security Act 1969 (Act 4),” he said.

He added that Perkeso would continue to enhance public awareness of the benefits of the scheme and the importance of social security protection. — Bernama