Budget 2026 a chance to catalyse health and safety issues

IT is imperative to prioritise the well-being of our workforce by empowering the private sector to embrace occupational safety, health and mental wellness as core pillars of productivity and sustainability.

The post-pandemic landscape has underscored the urgent need for resilient workplaces that safeguard both physical and psychological health. Budget 2026 presents a timely opportunity to catalyse this transformation through targeted fiscal measures and policy support.

To encourage dynamic investment in workplace safety and mental health, the following tax incentives should be considered:

> Accelerated capital allowance (ACA) for companies investing in ergonomic equipment, safety systems and mental health infrastructure such as quiet rooms, wellness pods or digital therapy platforms;

> Double tax deduction for expenses related to certified occupational safety and health (OSH) training programmes, mental health awareness campaigns, employee assistance programmes (EAPs) and hiring of certified OSH officers or workplace counsellors;

> Reduction of import duty on purchase of personal protective equipment not available in the country;

> Special relief for small and medium enterprises that implement basic OSH standards or mental health support mechanisms, and

> Tax deductions for companies that offer annual health screenings, stress assessments or burnout prevention programmes.

Complementary initiatives to embed a culture of safety and wellness could also be introduced, including

> Matching grants for companies adopting internationally recognised OSH certifications (for example ISO 45001) or mental health frameworks;

> Public-private partnerships to co-develop training modules, toolkits and digital platforms for mental health literacy and hazard prevention; and

> ‍Mandatory reporting and benchmarking to encourage voluntary disclosure of OSH and mental health metrics. Incentives could be given to top-performing companies.

By incentivising the private sector to lead in this space, we not only protect lives, we also unlock higher engagement, lower absenteeism and strengthen economic resilience.

TAN SRI LEE LAM THYE

Chairman

Alliance For a Safe Community