80 Pct Of Sabah EPF Members Have Savings Below RM50,000

KOTA KINABALU, Oct 7 (Bernama) -- About 80 per cent of the 1.14 million Employees Provident Fund (EPF) members in Sabah have savings of less than RM50,000, with informal sector workers among those struggling to make regular contributions.

Sabah and Labuan EPF director Mohd Fadil Sarehan said the situation needed serious attention to ensure Sabahans have adequate savings for a comfortable retirement.

He said while formal sector workers made regular monthly contributions, those in the informal sector often had irregular incomes, making it harder for them to contribute consistently.

“Our concern is the informal sector, such as fishermen and farmers, who do not contribute to EPF consistently.

“Therefore, the ministry, media and non-governmental organisations (NGOs) have an important role in raising awareness among these groups and encouraging them to increase their savings,” he told reporters after the State Media and Stakeholder Engagement programme with EPF here today.

Mohd Fadil added that awareness about beneficiary nominations among EPF members in Sabah remained low, with only about 20 per cent having made a nomination.

He said the absence of a nominee could make it difficult for beneficiaries to manage the savings of a deceased member.

“Members can now make nominations online, making the process easier and ensuring their savings can be properly managed after their death,” he said.

He urged Muslim EPF contributors to consider switching from conventional savings to the Syariah scheme as part of their social and religious responsibilities.

Mohd Fadil also thanked the Sabah state government for its continued support in efforts to increase the people’s savings, as well as the media for helping to disseminate EPF information and awareness campaigns, particularly in rural areas.

-- BERNAMA