BUDGET 2026 EMPOWERS WORKFORCE, FOCUSES ON WELFARE, SKILLS AND ACHIEVEMENT - KESUMA

KUALA LUMPUR, Oct 11 (Bernama) -- The Budget 2026 places a strong emphasis on social protection, skills enhancement and the well-being of the nation's workforce, in line with the Ministry of Human Resources' (KESUMA) 3K moto which is to empower workers' Welfare, Skills and Success.

KESUMA announced in a statement that it will receive an allocation of RM1.828 billion to implement various initiatives aimed at empowering the people and the labour market.

It said that through Budget 2026, the government, among other things, emphasises its commitment to the well-being of workers by covering 70 per cent of the contribution to the Self-Employment Social Security Scheme (SKSPS) for gig workers in sectors that have not yet been mandated, ensuring their continued protection and social security.

In addition, the Social Security Organisation (PERKESO) will complete four Rehabilitation Centres in Melaka, Perak, Terengganu, and the newest one in Penang, with a capacity of 250 beds to help injured workers recover and return to work, according to the statement.

For job seekers, including fresh graduates who need to relocate to accept job offers, mobility incentives of up to RM1,000 are available to ease their burden. The maximum amount of haemodialysis treatment assistance has also been increased from RM150 to RM170, involving an additional cost of RM52 million per year.

Additionally, the expansion of the PERKESO Health Screening Programme now also includes public transport and goods drivers, ensuring that no workers are left out of health coverage.

To enhance the skills of the workforce, the government is strengthening Technical and Vocational Education and Training (TVET) as the core of Malaysia's new economy with an allocation of RM7.9 billion, and RM3 billion from HRD Corp levies will offer three million training opportunities in the technology and new energy sectors.

The Skills Development Fund Corporation (PTPK) received an allocation of RM650 million to train over 25,000 trainees in strategic fields such as artificial intelligence (AI), electric vehicles (EVs) and semiconductors.

Meanwhile, the Academy in Industry (ADI) programme under the Department of Skills Development (JPK) was allocated RM34 million to train local workers, thereby reducing reliance on low-skilled foreign workers.

"A provision of RM10 million has been allocated to enhance the skills and service quality of taxi drivers, while Micro, Small and Medium Enterprises (MSMEs) investing in AI and cybersecurity training will receive an additional 50 per cent tax deduction to encourage investment in future skills," according to the statement.

In 2025, the country's labour market showed positive development with the unemployment rate recording three per cent, the lowest level in a decade, while labour force participation increased to 70.8 per cent with women's participation remaining above 56 per cent, actively contributing to the national economy.

"The Budget 2026 is not just about numbers and allocations but reflects KESUMA's philosophy of building a prosperous, highly skilled, and productive Malaysian workforce, in line with the MADANI Government's aspirations for the prosperity of the people and the country," the statement also said.

-- BERNAMA