WITH reports stating that the Employees Provident Fund (EPF) contributors having little savings in their funds, an Umno leader urged the Government to look into establishing a social pensions scheme to help retirees.
“This will be an addition to workers’ EPF savings, which have shrunk and doesn’t cover all workers. With the social pensions scheme, retirees will be given a monthly stipend depending on their past remuneration,” Umno information chief Shahril Hamdan said in a statement.
Earlier today, Sinar Harian reported EPF CEO Datuk Seri Amir Hamzah Azizan as saying that 46% of its contributors, below 55 years of age, have less than RM10,000 in their accounts.
He also said the findings was worrying but expressed confidence that the Government’s stimulus packages and other initiatives would help address the matter.
To finance the social pensions scheme, Shahril opined that the Government may look into overhauling the nation’s taxation system, in addition to rationalising certain subsidy programme.
“Whichever measure we take, I stress that one size does not fit all. It will be better if the Government deliberate on the matter using in depth analysis based on data.
“Nevertheless, this new measure will help Malaysia to move from pandemic to endemic phase, helping millions of citizens who had their incomes slashed,” he noted.
Jobs creation crucial
On that note, the Umno leader stressed that no scheme would work unless the Government embarks on the most crucial aspect of generating income; jobs creation.
He added that as long as the unemployment figures hovers between 700,000 and one million, Malaysia would not see an economic rejuvenation.
“When our people can earn a living, at a competitive rate, only then we can see Malaysia going on the path of economic recovery.
“All the aid programmes such as i-Citra withdrawals and Bantuan Sara Hidup is merely applying band-aid to the problem.
“The youths are craving for employment and business opportunity. So, the Government must come up with a long-term plan to expand the economic pie,” he concluded. – Sept 27, 2021
