Govt proposes mandatory 2% EPF contribution for foreign workers

Free Malaysia Today

Prime Minister Anwar Ibrahim says the rate is lower than the initial proposal of 12%, which is ‘very minimal’.  Read More: https://www.freemalaysiatoday.com/category/nation/2025/02/03/govt-to-implement-2-epf-contribution-for-foreign-workers/  Laporan Lanjut:  https://www.freemalaysiatoday.com/category/bahasa/tempatan/2025/02/03/kadar-caruman-kwsp-2-kepada-pekerja-asing-akan-dilaksana/  Free Malaysia Today is an independent, bi-lingual news portal with a focus on Malaysian current affairs.    Subscribe to our channel - http://bit.ly/2Qo08ry   ------------------------------------------------------------------------------------------------------------------------------------------------------ Check us out at https://www.freemalaysiatoday.com Follow FMT on Facebook: https://bit.ly/49JJoo5 Follow FMT on Dailymotion: https://bit.ly/2WGITHM Follow FMT on X: https://bit.ly/48zARSW  Follow FMT on Instagram: https://bit.ly/48Cq76h Follow FMT on TikTok : https://bit.ly/3uKuQFp Follow FMT Berita on TikTok: https://bit.ly/48vpnQG  Follow FMT Telegram - https://bit.ly/42VyzMX Follow FMT LinkedIn - https://bit.ly/42YytEb Follow FMT Lifestyle on Instagram: https://bit.ly/42WrsUj Follow FMT on WhatsApp: https://bit.ly/49GMbxW  ------------------------------------------------------------------------------------------------------------------------------------------------------ Download FMT News App: Google Play – http://bit.ly/2YSuV46 App Store – https://apple.co/2HNH7gZ Huawei AppGallery - https://bit.ly/2D2OpNP  #FMTNews #EPF #AnwarIbrahim #ForeignWorkers

Transcript

00:00The government has proposed to implement a mandatory 2% employees' Provident Fund contribution

00:07rate on foreign workers.

00:09Prime Minister Anwar Ibrahim said the rate is lower than the initial proposal of 12%,

00:14Burnama reported.

00:16He assuaged concerns that the rate might accumulate, saying that it would not be the case as the

00:21rate would be kept very minimal.

00:23He said the cabinet had considered feedback from various chambers of commerce before finalizing

00:28the decision.

00:30When tabling the 2025 budget last October, Anwar said the government planned to make

00:35EPF contributions mandatory for all foreign workers, with the plan to be implemented in

00:39phases.

00:40EPF has since said the move is expected to benefit 2 million foreign workers in the country,

00:46with mechanisms being put together to mandate foreign workers' contributions to the fund.

00:52Previously, foreign workers could voluntarily opt to contribute to the EPF at a rate of

00:57either 11% for those aged below 60 or 5.5% for the rest.

01:03Employers contribute only 5 Ringgit under both schemes.

01:08Danny Trajereza, FMT News.

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Transcript

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