AS the current parliament sitting enters its third week, the Employees Provident Fund (EPF) continues to be a hot topic for debate among MPs.

During the Supply Bill 2023 debate today, Lim Guan Eng (Bagan-PH) expressed concern about the median EPF contributor’s savings dropping from RM16,000 in the year before the Covid-19 pandemic to RM8,100 in 2022.

He said the government should create a long-term plan that operates in tandem with the EPF to ensure retirees are not affected by their lack of savings, and urged that the government study Norway’s pension fund, especially how it effectively manages natural resources, which brings benefit to its citizens.

“If most of Petronas’ profits are locked away in a trust the way Norway does it, Malaysians might own assets worth US$1 trillion (RM4.48 trillion), which could directly guarantee the future of retirees,” he said.

Opposition leader Hamzah Zainudin earlier urged the government to permit targeted EPF withdrawals for those in need by establishing a suitable mechanism.

Wan Saiful Wan Jan (Tasek Gelugor-PN) meanwhile asked the government to consider targeted withdrawals as the people are facing a difficult time with rising living costs.

“EPF contributors are those who have contributed and saved for their future, but it’s unfortunate that they are faced with difficulties so soon before retirement. That’s why I’m asking that the government consider targeted withdrawals,” Wan Saiful said.

Ahmad Fadhli Shaari (Pasir Mas-PN) described as not impactful the government’s additional RM500 contribution for EPF contributors aged 40 to 54 who have less than RM10,000 in savings.

“The RM500 is good but it doesn’t have any impact as recipients can only use it after several years,” he said. – Bernama, February 27, 2023.