NAJIB Razak has slammed the lengthy and arduous processes for those making EPF Account 1 withdrawals under Category 2 of the I-Sinar scheme. 

In a Facebook post today, the Pekan MP said the entire process for those under the category is very protracted, considering people are already suffering. 

“Is it reasonable for those who are struggling to wait another three more months, til the end of February before they get help when they have been longing for it since October, which was five months ago,” he said in a Facebook post today.

Yesterday, EPF announced its criteria for withdrawal and said contributors are divided into two categories. 

Najib took issue with EPF’s criteria for those in Category 2, where contributors only can start applying for the scheme online from January 11, 2021.

This comprises members who are still working and face an overall earning reduction of 30% and more, including salary and allowance, or cut in overtime pay, after March 1 this year.

For this purpose, EPF requires supporting documents from applicants, namely, pay slip and unpaid leave notice or termination notice/allowance cut and/or overtime claims.

Najib said besides the requirement of documentary proof, the withdrawal timing also proves to be a problem.

“Many desperate people have been waiting since October and now they need to wait until January 11, 2021 to apply together with various documents.

“Then they have to wait another two to three weeks to be informed by EPF whether the applicant is eligible or not.

“If eligible, then the payment will only be made before the end of the following month – that is at the end of February,” he said, adding that it is still early December and people are already suffering.

Last week, Finance Minister Tengku Zafrul Tengku Abdul Aziz told Dewan Rakyat EPF’s i-Sinar facility is now accessible to all members who have lost their jobs, given unpaid leave, or have no source of income.

The i-Sinar scheme is open to eight million EPF members. 

The facility will be open for application to members in Category 1 from December 21. 

Those in this category encompasses contributors employed in the formal or gig economy sectors; those who are self-employed or who have not contributed for a long time; housewives; as well as those who have lost their jobs or have been put on unpaid leave.

Members who have not contributed for at least two consecutive months or more at the time of application, or those who are still employed but facing basic salary cuts of 30% or more after March 1 this year are eligible to apply for the facility.

Those under this category don’t have to provide supporting documents, as the approval is automatic based on EPF’s internal data. – December 3, 2020.