KUCHING: The proposal that private sectors stop mandatory contribution to the Employees Provident Fund (EPF) amid the Covid-19 crisis is not appropriate.
Tourism, Arts, and Culture Minister Datuk Abdul Karim Rahman Hamzah when asked to comment on Malaysian Association of Tour and Travel Agents’ (Matta) recent statement, said such proposal is not a good solution at all as employees will be at a loss.
He said it is understandable that businesses and industries are affected by the restricted movement and the economic slowdown that resulted from it.
“Therefore, it is for all industry players to better manage themselves as well as their employees in this trying time until such time the economy improves,” he said.
He said in the meantime the government is also making efforts to reduce or waive licensing fees and permit fees, including giving discounted electricity and water bills which could reduce the burden of the people.
He added the government is doing its best to minimise the impact of the economic slowdown as well as to prevent escalation of the pandemic.
“We hope the people as well as business entities could persevere and stay calm as this is not just a Malaysian problem but the whole world is facing it,” said Abdul Karim.
On Thursday, Matta president Datuk Tan Kok Liang said EPF contributions by both employers and employees from the private sector should be suspended starting this month until the end of the year to allow employers to better manage their cash flow and for workers to have more cash for living expenses.
