Employers eyeing digital verification measures to address misuse
Business leaders in Malaysia are raising the alarm on the misuse of medical leave certificates (MCs) as more employers report cases of MCs being taken without valid reasons, according to reports.
A new survey by the Malaysian Employers Federation (MEF) revealed that 57% of employers have encountered cases of workers taking MCs without reasonable grounds.
The same poll also found that 26% of employees have faked an illness to secure sick leave, The Malaysian Reserve reported.
Datuk Dr Syed Hussain Syed Husman, president of the MEF, warned that misuse of MCs has negative effects on organisations, particularly on operational disruptions and staff morale.
Sick leave also costs billions to employers, according to the MEF president, who said this is estimated at about RM5.05 billion.
"Misuse of MCs has several negative effects, including costs to employers, who are estimated to suffer losses of billions of ringgit each year due to sick leave, including salary, treatment, and staff replacement costs," he said as quoted by The Malaysian Reserve.
The abuse of MCs comes as these certificates can be easily faked and obtained, according to the report, which cited Malay newspaper Utusan Malaysia.
The report found that some workers resort to buying these certificates for as low as RM20 in some private clinics, while some fake government hospital MCs are being sold on social media for as little as RM30.
Most certificates are also handwritten or scanned, with employers unable to verify them, according to Syed Hussain.
Some employers are also choosing not to challenge MCs, he added, amid concerns about employee privacy and industrial conflict.
"These weaknesses create loopholes resulting in fake MC syndicates and employee misuse of MC as recently highlighted by various enforcement actions," the MEF president said.
Addressing misuse of MCs
Business groups are debating on whether digitising MCs can address the misuse of these certificates, The Star reported.
The MEF is proposing a national digital verification system to combat MC fraud.
"MEF supports the move towards digitalisation of MC verification as a long-term solution to prevent fraud," Syed Hussain said.
"A secure, integrated, and government-led e-MC platform will not only reduce fraud and abuse but also increase trust and transparency between employers, employees, and medical institutions."
Under the proposal, the national platform will integrate MySejahtera, for government clinics and hospitals, and third-party administrator systems, for panel and private clinics.
It is also eyeing the inclusion of QR codes on MCs that can be scanned by employers to verify their authenticity.
"The above measures, if implemented with proper governance, will enhance workplace integrity and contribute to better workforce health management across Malaysia," Syed Hussain said.
But other businesses are cautious on the approach amid cost concerns and the legal frameworks needed.
"The cost-benefit and data privacy implications of large-scale digital surveillance of MCs must be carefully considered," said Dr Shanmuganathan Ganeson, president of the Federation of Private Medical Practitioners' Associations Malaysia, as quoted by The Star.
"A more balanced and effective solution lies in fostering trust, improving employee engagement and ensuring that medical ethics and employer policies go hand in hand."
Currently, some employers are already implementing measures to encourage employees to report to work.
"Some employers are already giving incentives where if you don't take MC for a month, employees are given incentives such as an additional RM50 and RM100," said Dr Chin Chee Seong, national president of the SME Association of Malaysia.
Meanwhile, Syed Hussain warned employees that misuse of MCs is serious misconduct, which can lead to disciplinary action, including dismissal.