EPF to assist members in rebuilding savings


Wider coverage: An EPF contributor looking at her savings at the provident fund’s headquaters in Kuala Lumpur. The fund is expanding social protection coverage to include more workers.

PETALING JAYA: The Employees Provident fund (EPF) is looking at beefing up retirement savings amid the Covid-19 pandemic which has put a dent on retirement security.

Chief executive officer Datuk Seri Amir Hamzah Azizan, in responding to queries from StarBiz, said with the economic recovery, the fund is looking at helping members, including those in the informal sectors, to rebuild their savings.

“The EPF has also been engaging with a number of industry players in the gig economy such as Grab Malaysia to encourage their partners to contribute to their retirement pool, incentivised by matching contributions.

“More collaborations with other players are currently in the works and will be shared once finalised.

Chief executive officer Datuk Seri Amir Hamzah Azizan, (file pic) in responding to queries from StarBiz, said with the economic recovery, the fund is looking at helping members, including those in the informal sectors, to rebuild their savings.Chief executive officer Datuk Seri Amir Hamzah Azizan, (file pic) in responding to queries from StarBiz, said with the economic recovery, the fund is looking at helping members, including those in the informal sectors, to rebuild their savings.

“Apart from this, the fund is working towards expanding social-protection coverage to include more workers.

“This means that those in the informal sector such as gig economy workers, contract for service workers as well as foreign workers are expected to be given coverage in the near future.

“As this effort calls for public and private stakeholder engagements, reform as well as amendments to our Act, it will take time to be implemented effectively.

“The involvement of other players, including the government and related social protection agencies, will be vital as reforms will require inclusive and holistic approaches as well as perspectives,” he added.

The EPF is committed to efforts that will further the fund’s main purpose in ensuring that all Malaysians are protected during retirement, on top of other systemic reforms that will strengthen the social protection system.Amir Hamzah said workers in the informal sector could contribute to the fund via the i-Saraan scheme.

The scheme allows members who are self-employed or those who do not earn a regular income to make contributions.

Members are allowed to save beyond the employee contribution statutory rate to rebuild their funds.

Amir Hamzah recently expressed concern about retirement security, especially with 46% of EPF members below the age of 55 having less than RM10,000.

He noted that the pandemic had led to a significant drop in the percentage of members meeting the basic savings threshold which is RM240,000 at age 55 from 36% to 27%.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights
   

Next In Business News

Touch ‘n Go eWallet, Firefly in strategic partnership
DNB to minimise 5G rollout complexity
DBS CEO says hard for digital banks to gain market share in Singapore
Malaysia attains good performance for SDGs in 2020
Stocks stumble as bond traders turn to jobs data
Gold heads for weekly fall as Fed officials strike hawkish tone
The Royal Award for Islamic Finance invites global nominations
Malaysia records increase in external trade unit values in October
Didi Global plans to delist from New York, seek listing in Hong Kong
Musk sells Tesla shares worth $1.01 billion - filings

Others Also Read


Vouchers