NUBE loses bid to challenge Perkeso's Covid-19 relief programmes

 

The National Union of Bank Employees (NUBE) has lost its legal bid to challenge three Covid-19 relief programmes implemented by the Social Security Organisation (Perkeso) during the pandemic. — PIC FROM NUBE MALAYSIA’S FB

KUALA LUMPUR: The National Union of Bank Employees (NUBE) has lost its legal bid to challenge three Covid-19 relief programmes implemented by the Social Security Organisation (Perkeso) during the pandemic.

High Court judge Alice Loke dismissed the union's judicial review application, ruling that Perkeso had acted within its statutory powers in implementing the Wage Subsidy Programme (PSU), Program Saringan Prihatin Perkeso (PSP) and Penjana Kerjaya.

NUBE filed the judicial review in 2022, alleging that Perkeso had unlawfully used contributors' funds to implement the three programmes.

The union sought declarations that the initiatives were unlawful and orders compelling the money to be returned to the Social Security Fund.

It named Perkeso, then human resources minister Datuk Seri M. Saravanan and then finance minister Tengku Datuk Seri Zafrul Abdul Aziz as respondents.

In her 21-page grounds of judgment dated July 23, Loke said the evidence showed that only the PSP was funded using Perkeso's funds.

She said the PSU and Penjana Kerjaya were fully financed by the federal government through the Covid-19 Fund established under the Temporary Measures for Government Financing (Coronavirus Disease 2019) Act, with Perkeso acting solely as the agency responsible for disbursing the funds to eligible recipients.

Loke said the Employees' Social Security Act should be interpreted broadly as social legislation capable of responding to unforeseen crises such as the Covid-19 pandemic.

"The implementation of the programmes was targeted at mitigating the negative impact of the Covid-19 pandemic.

"The words 'welfare of insured persons' should be construed to include not only physical health but also the mental wellbeing of the insured," she said.

The judge said adopting the narrow interpretation proposed by NUBE would unnecessarily restrict the Act's ability to respond to new situations.

She ruled that Section 40 of the Act empowered Perkeso to promote measures for the health, occupational safety and welfare of insured persons beyond the benefits specifically provided under the legislation.

Loke also held that Perkeso had acted on the directions of the human resources minister in implementing the government's pandemic response measures.

She ordered NUBE to pay RM10,000 in costs to Perkeso and a further RM10,000 to Saravanan and Tengku Zafrul.

Lawyer Datuk Malik Imtiaz Sarwar appeared for NUBE, while Vijay Raj represented Perkeso.

Senior federal counsel Fauziah Daud appeared for Saravanan and Tengku Zafrul. - NST