PETALING JAYA: Making it mandatory for foreign workers to contribute to the Employees Provident Fund (EPF) is the wrong move, says Datuk Dr Seri Wee Ka Siong (pic).
The MCA president, in a video on his Facebook page Tuesday (Oct 29), said that doing so would enable foreigners to enjoy the incentives given to EPF alongside Malaysians.
Taking the Singaporean counterpart of EPF, the Central Provident Fund (CPF), as a comparison, Dr Wee said that Singapore had done away with foreign worker accounts.
"It is quite weird that Singapore is going in one direction and Malaysia is going in the opposite. The Singaporean government wants to focus on the welfare of its people, not foreign workers," he said.
He asked if it was fair if the yearly dividend payouts would be the same for all.
"If we make it treat Malaysians the same as permanent residents (PR), I can see the rationale behind it as they can retire here.
"Imagine starting next year when EPF announces good news, then foreign workers will enjoy the same benefits as all EPF contributors and all profits earned by the EPF in their investments that involve special considerations by the Madani government can no longer be considered as the betterment of the Malaysian people.
"I urge the government to do away with the suggestion to make foreign workers mandatory contributors as stated in Budget 2025.
"If the government still wishes to proceed by making them mandatory contributors next year, then it would be wise to make a separate fund for them exclusively without combining the EPF funds for Malaysians and those with PR status.
"It is not that difficult as we already have the Private Retirement Schemes (PRS)," he said.
Prime Minister Datuk Seri Anwar Ibrahim during the tabling of Budget 2025 said that the government plans to make it mandatory for all non-citizen workers to contribute to the Employees Provident Fund (EPF), with this proposal to be implemented in phases.
