PERKESO’s LINDUNG 24 Hours scheme is now reported to be voluntary, following the latest Cabinet decision. This is a significant shift; the scheme was previously positioned as mandatory, with contributions fully borne by employees.
What Is LINDUNG 24 Hours?
From Mandatory to Voluntary
The earlier understanding was that LINDUNG 24 Hours would be mandatory for eligible employees, with contributions deducted from employee salaries and remitted by employers through payroll.
Latest Reported Update
The scheme is now voluntary. Employees should have a choice, subject to PERKESO’s final implementation guidance.
However, employers should note that the scheme remains mandatory for foreign workers. This means the latest update does not remove the requirement entirely, but instead creates a distinction between local and foreign employees.
The scheme was introduced to provide 24-hour protection for eligible employees against accidents that happen outside working hours and are not directly related to employment. In simple terms, it was designed to extend protection beyond workplace injuries and commuting accidents, covering certain non-work-related accidents during the employee’s period of employment.
PERKESO’s published FAQ stated that the scheme took effect on 1 June 2026 and applied to local and foreign employees covered under the Employees’ Social Security Act 1969.
Originally, the scheme was positioned as mandatory. Contributions were to be fully borne by employees, with employers responsible for deducting the contribution through payroll and remitting it to PERKESO. The contribution rate was stated as 0.75% from 1 June 2026 to 31 May 2028, 1.00% from 1 June 2028 to 31 May 2031, and 1.25% from 1 June 2031 onwards, subject to the wage ceiling of RM6,000.
Following the latest Cabinet decision reported by the New Straits Times and other media, the scheme is now voluntary for local employees but remains mandatory for foreign workers. This change matters because, for local employees, the discussion shifts from statutory deduction to employee choice. For foreign workers, employers should continue to monitor PERKESO’s implementation guidance and ensure payroll and compliance processes remain aligned with the mandatory requirement.
Opting Out of LINDUNG 24 Jam
Employees who do not wish to participate must submit a non-participation declaration through the Lindung Faedah portal, download the Release of Liability Notice, then sign, date and provide it to their employer for record purposes. Employees who opt out will not be entitled to benefits under the scheme.
If no action is taken by August 31, 2026, participation will be activated automatically. HR teams should ensure clear communication with employees so they understand the implications of opting out, specifically that PERKESO and employers will not be held liable for non-work-related accidents once the waiver is signed.
Refer to PERKESO’s official step-by-step guide here
Source:
- PERKESO — Non-Employment Injury Scheme / LINDUNG 24 JAM
Official scheme page explaining that LINDUNG 24 Jam provides round-the-clock protection for eligible employees, including accidents outside working hours and not directly related to job duties. - New Straits Times — “PERKESO’s LINDUNG 24 Hours scheme now voluntary”
News report stating that Malaysia’s Cabinet decided the scheme will be voluntary instead of mandatory. - Ministry of Human Resources Malaysia (2026) Kenyataan media
- Pertubuhan Keselamatan Sosial (PERKESO), Panduan Pengguna: Notis Pelepasan Liabiliti Skim LINDUNG 24 Jam
- Pertubuhan Keselamatan Sosial (PERKESO), FAQ Perluasan Perlindungan Keselamatan Sosial di bawah Skim Kemalangan Bukan Bencana Kerja Q16, p. 5
