165 companies operating in Malaysia have been fined by the Employees Provident Fund (EPF) for their failure in paying monthly contribution to employees during the third quarter period of this year.
Failure of EPF remittance to the employees is an offence under the Section 43 (2) of the EPF Act 1991, with this round’s summon totaling RM219,010.
EPF contribution is compulsory for workers not entitled for pension. At the moment, contribution rate for employees stand for 11%, and employers 12%. Beginning January, the employee deduction will be reduced to 8%, and any employee wishing to maintain contribution at 11% can do so by filling up form KWSP 17A (AHL) and make the submission to their respective employer by this month. The form can be obtained from the nearest EPF branch or online at EPF’s official website.
Employees who feel they are not being remitted with the EPF contribution can complaint to the authorities, including the Labor Office, Public Complaints Bureau and the Ministry of Human Resource. They are also advised to check their EPF account regularly, which can be done by visiting the EPF office, through EPF smart kiosks as well as online, via EPF i-Account.