PUTRAJAYA: The Cabinet's decision to pre-empt the Employees Provident Funds proposal disallowing contributors to withdraw their savings in a lump sum upon reaching 55 is final.
Second Finance Minister Datuk Dr Jamaluddin Jarjis said there was no longer any need for the EPF to continue with their study on the proposal.
Under the proposal, contributors would be allowed to withdraw only between 20% and 30% of their savings upon reaching 55 and the rest would be paid out in monthly payments over 15 to 20 years.
Jamaluddin said the EPF had not made any written recommendation or proposal to the ministry or the Cabinet.
However, the Cabinet decided that it was important for it to make a decision on the issue now as it involved public interest, he told reporters after a Hari Raya open house at his ministry yesterday.
Also present were Prime Minister Datuk Seri Abdullah Ahmad Badawi, Information Minister Tan Sri Khalil Yaakob and former Finance Minister Tun Daim Zainuddin.
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