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24-Hour Protection Scheme Not a Burden, Contribution Rate Still Low
🇲🇾 Malaysia /Economy & Trade

24-Hour Protection Scheme Not a Burden, Contribution Rate Still Low

From Utusan Malaysia · () Malay

Translated from Malay, summarized and contextualized by DistantNews.

At a glance

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  • Malaysia's Human Resources Minister R. Ramanan stated that the 24-hour protection scheme (Skim Lindung 24 Jam) under the Social Security Organization (Perkeso) has a contribution rate of only 0.75%, which is significantly lower than most market insurance products.
  • The scheme aims to protect workers and their families from accidents or disasters outside working hours, offering comprehensive benefits including financial aid for contributors and dependents.
  • Ramanan urged the public to allow the government to explain the scheme's mechanisms to prevent misinformation, especially during the election season, and also introduced MYFutureJobs AI+ to prepare the workforce for AI and digitalization.

Malaysia's Human Resources Minister R. Ramanan defended the 24-hour protection scheme (Skim Lindung 24 Jam) under the Social Security Organization (Perkeso), emphasizing its low contribution rate of 0.75% as a small investment for comprehensive coverage.

If compared to other insurance, the rate is much lower. I don't think any other protection scheme offers such a low rate with the given benefits.

— Datuk Seri R. RamananMinister of Human Resources, R. Ramanan, speaking about the low contribution rate of the Skim Lindung 24 Jam.

"Compared to other insurance, the rate is much lower. I don't think any other protection scheme offers such a low rate with the given benefits," Ramanan said. He noted that many perceive the contribution as a burden, only to regret it when an accident occurs without coverage. The scheme provides various benefits, including financial assistance for contributors and their dependents in case of disability or unforeseen events.

Many consider this contribution a burden, but when an accident occurs and they have no coverage, only then do they feel regret.

— Datuk Seri R. RamananMinister of Human Resources, R. Ramanan, explaining the importance of the Skim Lindung 24 Jam.

Ramanan also highlighted that Perkeso's protection is more comprehensive than private insurance, which is often more expensive and may not offer the same level of coverage. He urged the public to trust the government's explanation of the scheme, particularly as election season approaches, warning against misleading claims from irresponsible parties.

Other insurance is usually more expensive and does not necessarily provide the same protection. Perkeso provides guaranteed protection to contributors according to the established scheme.

— Datuk Seri R. RamananMinister of Human Resources, R. Ramanan, comparing Perkeso's scheme with private insurance.

Additionally, Ramanan introduced MYFutureJobs AI+, an initiative by the Human Resources Ministry through Perkeso. This program aims to enhance the national workforce's readiness for the evolving job landscape driven by artificial intelligence and digitalization. It expands the MYFutureJobs portal from a job matching platform to a future talent development hub, focusing on AI literacy, skills training, and competency development aligned with industry needs.

This is the best we can do. Sometimes there are irresponsible parties who like to spread all sorts of stories. Now is the election season, all sorts of things will come out.

— Datuk Seri R. RamananMinister of Human Resources, R. Ramanan, commenting on potential misinformation regarding the scheme during election season.
DistantNews Editorial

Originally published by Utusan Malaysia in Malay. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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