Kuala Lumpur: The government is in the final stage of adjusting its policy regarding mandatory withdrawals from the Employees Provident Fund (EPF) for those aged 55.
Prime Minister Datuk Seri Anwar Ibrahim said he was informed by EPF chief executive Datuk Seri Amir Hamzah Azizan that there had been “some opposition” to its proposed policy from contributors who had not much savings in their accounts.
“That is still in the final stages. Amir Hamzah just told me that there was some opposition, especially among those whose savings are too small,” Anwar, who is also finance minister, told reporters after attending the International Social Wellbeing Conference 2023 at a hotel here.
The EPF has not ruled out the possibility of considering making the option of periodic or monthly withdrawals, which is currently voluntary, to mandatory upon reaching the retirement age of 55, for new contributors in the future.
SPONSORED CONTENT Shell’s Access to Energy helps power lives of isolated communities in Sabah Kota Kinabalu: In 2017, Sabah Shell Petroleum Co Ltd (SSPC) launched Access to Energy (A2E), a Shell Social Investment programme aimed at providing affordable and continuous supply of electricity from renewable sources for communities who live without connection to the electricity grid. Read more Anwar also said the government is looking into remedial measures after the Federal Court ruled to nullify the law on a 2013 pension adjustment scheme.
“We will deal with it. We have to respect the decision of the court but we have a mechanism to protect the pensioners,” he said.
In its June 27 ruling, the top court said the 2 per cent annual increments were less favourable to pensioners and restored the law to the pre-2013 scheme.
* Follow us on Instagram and join our Telegram and/or WhatsApp channel(s) for the latest news you don't want to miss.
* Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available.
