Kuala lumpur: A study on the impact of the flexible work arrangements policy by the Ministry of Human Resources (KESUMA) has found that 81 per cent of workers in the Klang Valley reported improved job performance, clear evidence that work flexibility drives productivity. Deputy Human Resources Minister Khairul Firdaus Akbar Khan shared these findings from a study evaluating the effectiveness of flexible work arrangements for both employees and employers across the Klang Valley, Johor, and Penang.

According to BERNAMA News Agency, in Johor, 77 per cent of workers were more productive when allowed to set their own start and end times, while 64.4 per cent found working from home made their jobs easier. In Penang, 77 per cent of employers noted a boost in operational efficiency after adopting flexible work arrangements. Khairul Firdaus highlighted in a Dewan Rakyat session that the policy enhances worker productivity, improves labor market efficiency, reduces commuting costs, and promotes a healthier work-life balance.

Addressing questions from Datuk Mumtaz Md Nawi (PN-Tumpat) regarding the effectiveness of these policies, Khairul Firdaus emphasized that flexible arrangements enable more individuals, especially women, parents, caregivers, and senior citizens, to remain in or re-join the workforce. This supports the government's efforts to boost labor force participation. Under the amended Employment Act 1955, effective January 1, 2023, private sector workers can apply for flexible work arrangements, including flexible hours, workdays, or locations, subject to employer approval.

To encourage more companies to adopt such arrangements, the government offers a 50 per cent tax deduction incentive for employers, covering employee training costs and software purchases for digital work transformation. This one-off incentive, up to RM500,000, can be claimed through TalentCorp for assessment years 2025 to 2027, subject to terms and conditions.