There appears to be a major "bushfire" raging unabated in the country right now both on the social media and on the ground on whether or not the government should allow another round of special EPF withdrawals.
Already there had been several rounds of EPF withdrawals sanctioned before by previous governments packaged and branded as i-Sinar, i-Lestari and i-Citra. Even popular ex-minister Khairy Jamaluddin (a.k.a "DJ Khairy") had thrown his hat into the ring recently to dig into the country's hottest topic on his Hot FM debut.
Apparently based on a poll on Instagram recently, out of 20,000 participants 60% were in favour of another round of EPF withdrawal. An ominous sign?
The financially-literate though will rightly say that enough is enough, EPF is meant to be savings for old age. Moreover our EPF is undoubtedly one of the best managed corporate entities in the country so perhaps we should accept their advice not to allow any more withdrawals.
But try talking to those small-time traders at the roadside peddling food stuff, drinks etc or those struggling without a proper job and they will tell you a starkly different story.
This writer spoke to a middle-aged couple who had lost their jobs and have been selling nasi lemak at a stall to survive for the past few years. They have two young school going children and a 3-year old toddler to fend for. Compared to what it was a few months ago their popular stall appears to have lost some of its shine. The paintwork on their old Proton Wira too appears to have peeled off exposing patches of rust.
According to them, their profit margin is getting squeezed because of the rising cost of goods especially vegetables, meat etc. Apparently, the price of the humble cucumber now hovers around RM9-00 per kilo. While tomato is now said to be going for a staggering RM12-00 per kilo. And they haven't even touched on chilli and other essential ingredients yet.
Their nasi lemak is now the "no-frills" type minus chicken - just plain egg either boiled or fried (telur mata). The reason being, if their fried chickens are not fully sold their business would be recording a loss for the day and they can ill-afford that. While they spoke I noticed their youngest child sleeping inside the car with an empty milk bottle beside her. Not sure whether it was actually milk or just plain water she had been sucking on.
They are deeply upset with the government because most of their clients are from the B40 segment but with the rising costs of living not many can afford to eat nasi lemak with fried chicken for lunch anymore. Apparently, some of their regular customers have also started to shun the stall, probably deciding to cook simple meals at home. Or could it be that the popularity of "Menu Rahmah" meant that some were forced to "abandon" these roadside food stalls for the slightly cheaper alternative?
They also confided that they may have around RM200,000 jointly in their EPF accounts but because they haven't reached the withdrawal age of 50, they have no access to it. A case of so near, yet so far! How frustrating can that be, especially when you are struggling to make ends meet and stretching every riggit?
Interestingly, one of them used to be a sales manager in a local company while the other used to work in a legal firm. But then again, is this an isolated case... or could there be thousands like them out there languishing "below the radar" of the government? Forgotten victims of the pandemic?
Furthermore, they also voiced their exasperation at the fact that by the time they become eligible to withdraw part of their EPF, their children would have grown up - probably malnourished! Maybe they themselves by then would be having health problems due to poor diet. "So what's the point?" they asked. "It's our hard-earned money and we desperately need help NOW, so why can't we at least withdraw a small part of it to sustain us in these difficult times?"
In reality, the economic headwinds we are facing now may not be the usual cyclical business or financial slowdowns that the world had been accustomed to in the years gone by. Indeed, to many it's something worse because they just aren't able to see the light at the end of the tunnel - with even the smartest economists unable to predict what's coming up next!
Of course, there is much wisdom in saving up for one's future. In fact, it's a must so that we can retire with some dignity and not depend on our children (or charity!) to pull through our twilight years.
Yet, ironically, just like those suffering B40 folks, our PMX too is probably having sleepless nights lately - and not just at the thought of the black cobra that turned up at his residence recently without following protocol! We can be sure that this EPF withdrawal "tug-of-war" must be tugging at his heartstrings day and night amongst tons of other equally pressing matters.
For Datuk Seri Anwar Ibrahim, it's probably a case of "damned if he does and damned if he doesnt!" So how does he wriggle out of this tricky snake hole?
Will he stick to his guns resolutely and say no - and risk facing a disastrous backlash in the coming state elections, with the possibility of losing more ground to the opposition Perikatan Nasional because of the swelling disenchantment on the ground? Or worse still, will it trigger a major "Green Tsunami" in Selangor, with its sizeable B40 and M40 population, where his coalition might suffer heavy casualties?
Conversely, will he set aside the strong views of concerned economists and others alike - all of whom no doubt mean well - and endeavour to find a middle ground?
Maybe he might come out with a special targeted approach where only those who have lost their jobs or unable to pay their debt obligations etc but have sufficient funds in their EPF accounts aged between 35-50 will qualify to withdraw a certain sum?
Meanwhile, those below that age limit in the B40 category may be given other types of financial assistance out of the government's own coffers (without jeopardizing their EPF retirement funds)? Some may call that a play-it-safe method as opposed to a more gung-ho, straight to the face "No".
Or maybe he will rope in Bank Negara Malaysia (which is under his own Finance Ministry) to come up with a simple loan-restructuring package (with minimal paperwork) for affected ones where borrowers may pay lower instalments to the banks? At least this will help to free up the much needed extra funds for those who really need it badly. It may also help to "mute" some of the noises coming from the opposition bench!
Another thing is that with the EPF about to announce its dividends payable for the year 2022 soon, maybe he might allow those who no longer hold salaried jobs and those who are self employed, to "cash out" the dividends? It may be a small sum but at least for many cash-strapped families it will be a huge relief and may help to bring about some much-needed cheer to their households. More so with the puasa month already on the horizon.
Whatever it is, let's just hope that the unity government will make a wise and well-balanced decision soon, taking into account all factors involving the welfare of the contributors both in the present and in the future.
This is all the more crucial as a wrong decision may prove to be fatal to Datuk Seri Anwar Ibrahim's fledgling government. Whatever happens - just don't blame it on the black cobra!
JK Joseph is a content creator under the Newswav Creator programme, where you get to express yourself, be a citizen journalist, and at the same time monetize your content & reach millions of users on Newswav. Log in to creator.newswav.com and become a Newswav Creator now!
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