KUALA LUMPUR: The compulsory coverage of the Employees Provident Fund (EPF) to non-Malaysian workers is in line with its efforts to ensure that all workers have access to social protection, said EPF chief executive officer Ahmad Zulqarnain Onn.
He said the initiative would provide greater fairness in the labour market by ensuring social protection for all workers, regardless of nationality, in line with international standards.
"Currently, non-Malaysian workers can opt to contribute to the EPF voluntarily. The new policy is expected to benefit over two million non-Malaysian workers in Malaysia,” he said in a statement on Monday (Oct 21).
He added that the EFP will provide further information on the details of the contribution rates, key target groups and policy implementation mechanisms at a suitable time.
Prime Minister Datuk Seri Anwar Ibrahim, when tabling Budget 2025 on Friday, said the government planned to make it compulsory for all non-Malaysian workers to contribute to EPF, with the proposal set to be implemented in phases.
Meanwhile, the EPF welcomed the government's approval to enhance the i-Saraan programme by increasing the matching incentive from 15% to 20%, subject to a maximum of RM500 a year and a lifetime limit of RM5,000 per individual.
Adding that this would be effective from Jan 1, 2025, the EPF expects this to benefit over 330,000 existing i-Saraan participants.
The statement said that for the first half of this year, i-Saraan recorded total contributions of RM1.61bil from 330,196 members, an increase of 103% from RM789.3mil as well as a 56% rise in the number of members from 211,361 during the same period in 2023.
"In addition, as an appreciation for the contributions of housewives to the development of families and the nation, the government's matching incentive for the i-Suri programme of 50% from the total annual contribution would be extended to 2025,” it said.
The EPF said the initiative is subject to a maximum government matching incentive limit of RM300 per year and RM3,000 for a lifetime or until reaching the age of 55, whichever comes first. - Bernama
