Parti Sosialis Malaysia (PSM) fully supports the Malaysian Trades Union Congress (MTUC)’s call for a national picket over the PERKESO Lindung 24 Jam scheme and will back all efforts toward making it a success. However, we hope MTUC is serious in its intentions and is not merely crying wolf, as the issue at hand is of grave importance to the working class.
PSM also wishes to remind MTUC that its demands must be clear and consistent. First, the Lindung 24 Jam scheme is currently optional — and that is unacceptable. Second, the full cost of the scheme is borne entirely by workers, with no contribution from employers. This is fundamentally unjust.
PSM has already called on the government to make the SOCSO 24-hour coverage scheme compulsory and to ensure that the contribution hike is shared between workers and employers.
We have issued two previous statements on this matter:
• On 2 June, PSM argued that charging workers 100% of the contribution rate exploits the working class. We contended that any national social safety net must include co-contributions from employers, consistent with the standard PERKESO (SOCSO) and Employment Insurance System (EIS) frameworks. If employers or other parties have issues with this, then the government should fund the difference.
• On 9 July, we strongly condemned the government’s decision to change the PERKESO Lindung 24 Jam scheme (Non-Occupational Accident Scheme) from mandatory to optional for local workers.
If MTUC questions the contribution hike, the government will likely respond by saying that the scheme is optional and that workers can simply opt out. That is precisely why it is fundamental for the government to first make the scheme compulsory — as it was originally intended to be. What is the point of calling it Lindung 24 if coverage is only optional?
The Bigger Issue: Questionable CEO Salary
Beyond the scheme itself, PSM is also disturbed and alarmed by the reported remuneration of SOCSO’s CEO. It is time for the government to seriously consider imposing a salary ceiling for heads of GLCs and government statutory bodies.
How can a CEO earn between RM90,000 and RM120,000 per month when the Cabinet continues to deny Malaysian workers a decent living wage? The minimum wage recommended by the Cabinet is consistently lower than what is proposed by the Minimum Wage Committee, which uses a proper formula to determine a fair wage.
PSM calls upon the government to explain the salary structure and to make public the remuneration of top executives in GLCs and statutory bodies. Workers have a right to know where their contributions are going. GLCs are not meant to profit individuals, but to serve the well-being of the rakyat and the nation.
S. Arutchelvan
Deputy Chairperson
Parti Sosialis Malaysia (PSM)