Perlis First State To Make Lindung Kendiri Contributions Mandatory For Hawkers

KANGAR, Oct 26 (Bernama) -- Perlis has become the first state to require hawkers throughout the state to contribute to the Self-Employment Social Security Scheme (LINDUNG Kendiri) as a condition for applying for or renewing business licences, under an initiative implemented in collaboration with the Social Security Organisation (PERKESO).

PERKESO Group chief executive officer Datuk Seri Dr Mohammed Azman Aziz Mohammed said the joint initiative, formalised through the signing of a Memorandum of Understanding (MoU) with the Perlis Municipal Council (MPPs), was aimed at ensuring hawkers receive adequate social security protection.

“The objective is to ensure they are protected in the event of an accident while commuting to and from work or while carrying out their business activities.

“Hawkers are a vulnerable group, with most still lacking insurance coverage despite relying on daily earnings to support their families,” he told a press conference after the signing of an MoU between PERKESO and MPPs here today.

At the ceremony, Mohammed Azman represented PERKESO, while MPPs president Affendi Rajini Kanth represented the council. Perlis State Secretary Datuk Noor Azman Abdul Rahman witnessed the signing.

Mohammed Azman signed the MoU on behalf of PERKESO, while MPPs president Affendi Rajini represented the council, with Perlis State Secretary Datuk Noor Azman Abdul Rahman witnessing the event.

Mohammed Azman said hawkers who hired workers were also required to register them and make the necessary contributions, as the employees were similarly exposed to the risk of accidents or injuries at work.

Meanwhile, Noor Azman said the MPPs initiative could be extended to other government departments in the state to strengthen social security protection for their employees.

He said the proposal would be brought to a management meeting for consideration, subject to the financial capacity of each department.

“If the departments have sufficient allocations, we can encourage them to adopt the same approach as MPPs,” he said.

Meanwhile, PERKESO said in a statement that as of September, about 43 per cent of the 2,521 registered hawkers in Perlis were active contributors under the LINDUNG Kendiri scheme.

During the same period, RM1.3 million in benefits was paid to 379 recipients in the state, including RM160,684 to 30 recipients from the hawker sector.

--BERNAMA