Tuesday February 19, 2013

Groups: Dividend should be higher

PETALING JAYA: While welcoming the 6.15% dividend announced by the Employees Provident Fund (EPF), several groups say an even higher amount should be declared.

Malaysian Employers Federation executive director Shamsuddin Bardan said the return on investment stated in the EPF report was very impressive.

“However, based on those figures, we feel that the dividend paid to contributors should also be higher,” he said.

As a huge profit was made on investments using contributors' money, he said the dividend given should reflect this.

Fomca CEO Datuk Paul Selvaraj said EPF contributors had benefited from the sound investments made.

“As long as the EPF makes good investments with good returns, the contributors will continue to benefit,” he said.

Gerakan vice-president Datuk Mah Siew Keong, in a statement, said the high dividend rates should encourage more self-employed workers to contribute to the 1Malaysia Retirement Savings Scheme which provided the same benefits as EPF.

“It is indeed unfortunate to see many self-employed individuals such as hawkers, farmers, fishermen and even housewives being unable to enjoy what normal employees receive from the EPF,” he said.

Mah urged EPF to create more awareness about the scheme to attract more workers without a fixed monthly income.

Meanwhile, EPF members are celebrating the 6.15% dividend declared for last year. Many logged on to their EPF i-accounts yesterday morning after the declaration was reported.

Electrical technician Rashidi Noon, 28, from Kuala Lumpur said the dividend was good news as his future would be more secure.

“Any increase is welcome, this will be good for my retirement.

“The higher dividend will also attract more people to contribute to EPF,” he said.

Khoo, 52, from Klang said that he was very satisfied with the rise in dividends.

“If the high rate continues, I will be able to retire with a comfortable sum when I turn 60,” he said.

EPF chairman Tan Sri Samsudin Osman said a record RM27.45bil would be disbursed to EPF members, up 12.2% from RM24.47bil distributed the previous year.

News

Tuesday February 19, 2013

Groups: Dividend should be higher