Health groups welcome end to contract doctor system, but warn of lingering manpower issues

BUDGET 2027 | Health groups welcomed the end of the contract doctor system, as proposed in the tabling of the Budget 2027 today.

However, they warned that the move merely provides short-term relief, as the lack of long-term structural reform highlights underlying vacancies and specialist shortages.

Galen Centre for Health and Social Policy chief executive officer Azrul Khalib pointed out that regularising existing doctors does not increase the number of healthcare professionals.

"Malaysia needs to recruit aggressively, retain experienced personnel, improve working conditions and compete for skilled healthcare talent from both domestic and regional sources," he said in a statement.

In a separate statement, the Malaysian Medical Association (MMA) said Malaysia is still facing a shortage of nearly 11,000 specialists - a strain that will only increase with the rising rates of non-communicable diseases and the needs of an ageing population.

Its president Dr Sivanaesan Letchumanan urged the government to expand specialist and subspecialist training while aggressively expanding measures to retain existing specialists.

Similarly, Azrul (below) questioned how the end to the contract system will address healthcare vacancies, which currently number over 50,000 across different roles.

Earlier today, Prime Minister Anwar Ibrahim announced that more than 9,000 contract doctors will be offered permanent positions.

"This means that after this, doctors who complete their housemanship will be offered permanent positions as medical officers," he said while tabling the Budget 2027 at the Dewan Rakyat.

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Job security

The announcement was also wholeheartedly welcomed by the contract doctors' group, Hartal Doktor Kontrak (HDK), who thanked Anwar and Health Minister Dzulkefly Ahmad.

In a statement, the group spokesperson expressed relief over the end of the issue, which had "plagued" the public healthcare system since 2016 and which HDK was founded in 2021 to oppose.

"Many of our colleagues were forced to leave the national healthcare system due to a poorly planned contract framework.

"This announcement provides job security that will reignite their passion to continue serving the people of this nation," they said.

However, Azrul asked how many of the permanent doctor position offers will be accepted.

"Only around 500 medical graduates applied for the 5,000 trainee doctor positions earlier in the year," he said.

Additionally, Sivanaesan called on the government to enhance primary healthcare reliance, such as through the "underutilised" network of private general practitioners, to increase measures aimed at prevention, early detection, and long-term disease management.

"Ultimately, the success of Budget 2027 must be measured not merely by the allocations announced, but by improvements in patient care, waiting times, workforce retention, and access to healthcare," he added.

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