PETALING JAYA: Young working Malaysians, especially those below 29, are more confident of the ability of the Employees Provident Fund (EPF) to serve as the custodian of their savings compared to their older counterparts.
A survey commissioned by the EPF revealed that 63% of Malaysians under 29 years old were also happy with how investment decisions were being made by the fund compared to 56% of those aged 50 years and above.
It also found that 55% of those interviewed had a high level of confidence in the EPF.
Overall, the study indicated the respondents have positive perceptions about the EPF as the fund has consistently demonstrated its ability to safeguard contributors money and provide annual dividends until their retirement at 55, said EPFs deputy chief executive officer (management and organisation development) Rusma Ibrahim.
The A.C. Nielsen survey showed the majority of respondents felt the EPF has never failed to have sufficient funds for contributors to make withdrawals since its inception more than 50 years ago.
MTUC president Zainal Rampak said the EPF should not spend contributors savings for perception surveys and public relations activities.
I have made this clear at the funds board meetings and on several occasions that as the dividends are low the fund should not spend money on consultants who charge exorbitantly, thinking that the fund is a cash cow, he said.
Zainal said there was no need to conduct a survey as the 10.3 million contributors were convinced their money was safe with the EPF.
It is a government-backed fund and there should not be any worry or concern over its credibility.
For this reason, the EPF should not employ a survey company to gain confidence among contributors.
This is a sheer waste of money. Whether old or young, the people who have confidence in the fund will continue to do so.
The EPF should follow Prime Minister Datuk Seri Abdullah Ahmad Badawis call to walk the talk by focusing on better returns for its investments.
Trying to change the perceptions of the people through surveys is not a long-term and sustainable way of gaining confidence, he added.