From the total of 193 fined, I am sure many cases went unreported.
Via www.kwsp.gov.my
In its effort to protect members??savings, the Employees Provident Fund (EPF) has continued to take action against employers for defaulting on their employees??EPF contributions with a total of 193 employers slapped with fines by the courts totalling RM278,970 during the third quarter of 2009 (Q3).
??he rate of defaulting employers during this quarter has registered a drop in which only 1.75 per cent employers had defaulted compared to 1.91 per cent in the previous quarter. While this suggests that increasingly more employers are aware of their role in their employees??retirement wellbeing, the EPF will still persevere with its efforts to ensure that employers continue to comply with the law,??said Nik Affendi Jaafar, EPF General Manager for Public Relations.
Click here for full story.
Is this an issue with education? Are business owners in Malaysia that ignorant about basic labor laws? Or the risk and consequences of getting caught is far lesser than the penalty that would be imposed on these fly by night business owners?
From the above report, the EPF’s General Manager seems to have missed the point. 1.75% of employees who defaulted this quarter and 1.91% of employees who defaulted of previous quarter should not be labeled as a drop, unless both quarters has the same number of employers. This is when statistics are mistakenly used in the wrong context. It certainly does not suggest an increment of awareness as mentioned by the EPF’s GM.
This reminds me how politicians used the very same tactic to confuse the public.
On another EPF-related story, only about 23% of EPF members have nominated beneficiaries.
Via TheEdgeMalaysia.com
Only about 23% of the Employees Provident Fund’s (EPF) 12.4 million members have nominated their beneficiaries, said its general manager for public relations Nik Affendi Jaafar.
In a statement today, he said: “As your nomination determines who will receive your EPF savings, it can offer some financial protection to your family should death suddenly occur. Nomination will not only ensure speedy payment to your family, but will also help to spare your loved ones from unnecessary suffering.”
The EPF is launching an awareness drive to remind members on the importance of nominating beneficiaries for their EPF savings. It will be running an advertising campaign from today until Dec 21 through the radio and newspapers.
The next key question is, of this 23% nominated beneficiaries, how many percentage are up-to-date? The last time I logged into my KWSP’s i-Akaun, I do not remember seeing my nomination details. No, I am not even thinking of asking KWSP to allow me to change my nomination online, because I think that would be a bit too much. Just let me know my latest nomination details would be good enough, because I would think that nomination details is definitely no more important than displaying the balance of my EPF amount.
Or why not simply just use some ‘default settings’, like what they did with The Distribution (Amendment) Act 1997? If you are not married, the default nomination setting would be Father and Mother, then to your siblings and then to your grandparents. If you are married, then it would be your legal spouse, then your legal issues, and then your parents, your siblings, your grandparents and so on. This ‘default setting” would definitely be better than letting the money go Amanah Raya Berhad.
And I’ve recently received an email from a friend, Jodie, with some KWSP nomination tips and it goes like this:
If ONE (1) of your Nominees in the EPF Nominees list dies, automatically the whole arrangement (EPF Nominees list) is VOID .. Meaning if, you only put in One (1) name & unfortunately he/she dies before you ??automatically EPF will channel your EPF money to trustee of AMANAH RAYA upon your death.
Even though if you have few names in the EPF Nominees list, – the whole arrangement is VOID & none of the individual names left in the EPF Nominees list will get their portion & automatically EPF will channel your EPF money to trustee of AMANAH RAYA upon your death.
Piece of advice – if any of the your Nominees in the EPF Nominees list dies, please do immediately approach the nearest EPF counter & present the Death Certificate of the individual & register your NEW / LATEST Nominee in the EPF Nominees list + NEW / LATEST percentage .
If, you & the other party (maybe spouse) involved in the same misfortune (accident / illness) that caused death to both yourself / spouse please, please, please alert your siblings / relatives / parents to immediately approach the nearest EPF counter & share the information within 3 days to AVOID all EPF money to be surrendered to trustee of AMANAH RAYA .
Upon surrender to trustee of AMANAH RAYA, your children will have to battle the money thru 3 channels;
Majlis Agama
Pejabat Tanah
Mahkamah
The normal period via above 3 channels usually takes 2-3 years (except if you have inside/tip top connection) at Amanah Raya.
I’ve always thought that in the event of the death of one of the nominated beneficiary, the remaining beneficiaries who are still alive and kicking will automatically inherit the entire EPF fund, with the percentage of the fund’s value adjusted according to their initial ‘shareholding’. I need to give KWSP a call tomorrow morning. Some things are just not that obvious.
