A PROPOSAL to increase employers’ contribution to the Employees Provident Fund (EPF) will be brought to the cabinet soon, Prime Minister Anwar Ibrahim said today. 

It (the proposal) has been brought forward, but we have not referred it to the cabinet yet, he said.

“We need to discuss the matter first as it involves policy decision, and this could have an impact (on the economy),” Anwar told members of the media today after the Labour Day event in Putrajaya. 

Earlier, the Union Network International-Malaysia Labour Centre (Uni-MLC) reportedly urged the government to increase the employers’ EPF contribution to 20% from the current 13% for those earning RM4,000 and below.

Its president Shafie B.P. Mammal called on the Human Resources Ministry to develop a new labour policy that would meet the needs and challenges of the post-Covid-19 era.

He also recommended a number of other measures to help safeguard the welfare of workers throughout the country.

Meanwhile, Anwar said the government would soon look into reviewing the salaries of civil servants, claiming certain groups are still drawing unsatisfactory wages. 

“I know the salaries of civil servants in the lower and middle ranks are unsatisfactory. It is time for it to be reviewed. I know the plight of workers very well, this is my turf and I understand their suffering.

“Give me a year. If the nation’s revenue goes up, the salaries of civil servants will be on top of the list. 

“Whatever bonuses and medical and education benefits, we will give as soon as we have allocation,” he said. – May 1, 2023.