PARTI Sosialis Malaysia (PSM) has called upon the government to create a package for Malaysian seniors who do not receive pensions.
The party proposed the “Senior Citizens Pension” which would pay those aged 65 and up RM500 per month for the rest of their lives.
PSM chairperson Dr Michael Jeyakumar added that the government is capable of carrying out this scheme since it only costs RM10.8 bil annually.
“Budget 2023 is worth nearly RM390 bil. This scheme costs less than three percent of the total budget,” Michael said during the scheme’s campaign in Kuala Lumpur.
According to PSM, 2.3 million (or 56%) senior citizens do not have pensions and are not financially covered by the government.
It was emphasised that the majority of them are financially dependent on their closest family members.
“This scheme can help people without a pension such as housewives or persons with disabilities, because right now, they are financially dependent on their family.
“It will also ease the financial burden their children are currently bearing.
“This group should no longer be ignored by the government,” Michael added.
Time for alternative financial aids
Saya Anak Bangsa Malaysia member Jayanath Appudurai, who was present at the campaign, explained that the scheme could help to satisfy the increasing need for more withdrawals from the Employees’ Provident Fund (EPF).
He stressed that many EPF contributors were unlikely to meet the basic retirement savings target of RM240,000 by the age of 55, adding that more than half of members have less than RM10,000 in their accounts.
“Adding on to the fact that the former governments allowed members to withdraw from their EPF savings prematurely during the COVID-19 lockdown.
“Many contributors’ savings are at their lowest now. The B40 can barely afford to retire, this includes some of those under M40,” Jayanath said.
Instead of allowing more rounds of EPF withdrawals, he believes Putrajaya should implement alternative financial aids to help make sure Malaysians’ retirement is not jeopardised.
“Old age poverty is a reality now,” he added. – April 14, 2023
Main pic credit: Alchetron
