MTUC lauds stand to retain EPF withdrawal at 55

The Malaysian Trades Union Congress (MTUC) said the government decision to retain the withdrawal age for the Employees Provident Fund (EPF) at 55 for private sector employees, as a smart move. 

MTUC president Mohd Khalid Atan (left) said the congress had conducted a study and it showed 80 percent of private sector employees chose to withdraw their EPF at the age of 55, although the minimum retirement age has been extended to 60 years, effective January next year. 

“MTUC welcomes the decision because since the beginning, the private sector employees have been given a choice either to withdraw their EPF at the age of 55 or 60,” he told Bernama.  

Cuepacs president Omar Osman also welcomed the move, saying that the news was a relief to private sector employees as they were worried over the rumour to increase EPF withdrawal age to 60.

“It proves the government always gives attention to private sector employees as they are part of the nation’s economic workforce,” he said. 

Yesterday, Second Finance Minister Ahmad Husni Hanadzlah said private sector workers could still withdraw their full EPF savings at age 55.

According to the Minimum Retirement Age 2012 Bill, which was passed by Parliament recently, the compulsory retirement age for private sector workers is raised to age 60.