Lindung 24 Jam U-turn raises questions over govt's motives and employees' protection

The government's decision to make the Non-Employment Injury Scheme (Lindung 24 Jam) voluntary for Malaysian employees after barely one month of mandatory implementation suggests that public objections, ala "public feedback" cannot be ignored.

The removal of compulsory contributions does not appear to be a voluntary concession by the government but a policy U-turn following strong public opposition. At a time when Malaysians are grappling with rising costs of living, ending mandatory salary deductions gives workers some relief and slightly improves their purchasing power.

The timing of this sudden reversal also raises questions. Compulsory deductions began only in June 2026, yet the government changed its position just weeks later. Was this decision truly based on public feedback, or was it influenced by the ongoing Johor state election and the upcoming Negri Sembilan state polls?

If the government had listened to the people from the beginning, why was the scheme made obligatory without proper consultation? Policies affecting millions of workers should be properly discussed before they are implemented, not changed only after public backlash.

More importantly, the government and the Social Security Organisation (PERKESO) must immediately clarify the position of employees whose salaries were deducted in June 2026.

Does the June contribution provide protection only for July, or does the coverage continue until the end of 2026? If an employee suffers an accident outside working hours in the coming months and future, will he or she still be covered even though no further mandatory contributions will be made?

If the June deduction only pays for limited coverage, will the government refund employees for the unused portion of their contributions? Workers deserve clear answers after being compelled to pay into a scheme that has now been made optional.

The government cannot simply reverse its decision without addressing the rights and interests of workers whose salaries have already been deducted. Transparency and accountability, not rushed policies that are quickly abandoned, are essential to maintaining contributors' confidence in PERKESO.

This episode once again demonstrates the importance of proper policy planning, stakeholder engagement and transparent communication. The government must stop introducing policies first and scrambling to fix them later. Confidence in the government can only be maintained if policies are carefully considered, rather than introduced in haste and creating confusion and uncertainty.

Datuk Dr Monna Ong Siew Siew

MCA Public Policy and People’s Livelihood Research Advisory Committee chairperson