PERKESO reform welcomed, but MEF warns against rushed implementation

KUALA LUMPUR — Employers welcome the broader protections introduced by the PERKESO Act amendments, but MEF says these changes must be implemented with caution to avoid financial strain and administrative confusion.

MEF president Datuk Dr Syed Hussain said the expansion of 24-hour protection and coverage for non-occupational accidents is a significant reform that requires strong financial modelling and transparent processes.

He noted that although contribution rates remain unchanged, the long-term sustainability of PERKESO’s fund now depends on accurate actuarial assessments and clear communication with employers and workers.

He also said mobility allowances and skills programmes must meet real industry needs rather than simply increasing the number of training courses.

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