KUALA LUMPUR, Oct 21 — 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 its chief executive officer Ahmad Zulqarnain Onn.
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 today.
Zulqarnain said the EFP will provide further information on the details of the contribution rates, key target groups and policy implementation mechanisms at a suitable time.
When tabling Budget 2025 on Friday (October 18), Prime Minister Datuk Seri Anwar Ibrahim 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 also welcomed the government's approval to enhance the i-Saraan programme by increasing the matching incentive from 15 per cent to 20 per cent, subject to a maximum of RM500 a year and a lifetime limit of RM5,000 per individual.
Coming into effect on January 1, 2025, it expects this to benefit over 330,000 existing i-Saraan participants.
For the first half of this year, i-Saraan recorded RM1.61 billion in total contributions from 330,196 members, a 103 per cent increase from RM789.3 million as well as a 56 per cent 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 per cent from the total annual contribution would be extended to 2025,” it 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
