EPF to allow withdrawals for subfertility treatments

The Employees Provident Fund says it will encourage couples to have children through medical assistance.

KUALA LUMPUR: The Employees Provident Fund (EPF) today said it will create a new option for withdrawals for subfertility treatments following the 2020 Budget proposal to allow contributors to seek such treatments.

EPF chief executive officer Tunku Alizakri Alias said Malaysia’s ageing population, caused by a continuous trend of falling fertility rates, is expected to bring about healthcare and employment challenges.

“One of the ways to address this matter is encouraging couples to have more children through medical assistance. Yet costs of such treatments are extremely high, with In-vitro Fertilisation (IVF) treatments ranging between RM4,000 and RM30,000 per cycle.

“Taking note of this, the EPF will be creating a new option under Account 2 for withdrawals for subfertility treatments,” he said in a statement.

Tunku Alizakri said EPF welcomes the opportunity to work closely with the women, family and community development, and health ministries in the implementation of this proposal.

“We recognise that children have direct and indirect benefits for families. Therefore, EPF is fully supportive, and will actively explore ways to balance the need between financial security and social well-being.”

Tunku Alizakri said EPF noted that the budget takes into account fast-changing demographics, the changing definitions of
work and the work environment, and the issues surrounding social well-being.

“EPF is pleased some of the social concerns we have often raised have been heard by the government and reflected in
the budget with unique solutions to the unique issues pertaining to the well-being of Malaysians.”

On the Malaysians@Work initiative, he said its implementation will ensure the beneficiaries will have their future retirement needs taken care of as the incentives will be delivered through EPF channels.

“It is anticipated that part of the incentive will be immediately available to the recipients via a new withdrawal mechanism to be
developed by EPF.

“EPF is honoured to be tasked with the administration of the Malaysians@Work initiative, with the different @Work programmes aimed at providing employment opportunities for key segments of the Malaysian workforce as well as reducing our over-dependence on low-skilled foreign workers,” he said.

He said “Malaysians@Work is an important measure towards resolving critical talent issues in the country, such as low wages and high youth unemployment, especially among new graduates as well as enabling a return to work programme for women.

Tunku Alizakri Alias.

“What is also unique is that the various initiatives also include employers to actively be part of the solution.”

On the expansion of education withdrawal, Tunku Alizakri said it will allow EPF members to make withdrawals to fund their
education from the certificate level onwards.

“The expansion of the education withdrawal facility under Account 2 to members’ spouses and parents also looks to extend the productivity of EPF members’ families.

“Members can opt to financially support their spouses or parents to enrol in continuous learning programmes and ensure self-sufficiency beyond retirement,” he said.

Tunku Alizakri also said the rise of the gig economy, a general preference for younger workers to opt into the informal workforce, and an increasing number of workers and professionals under contract for services has resulted in the growth of the working population falling outside the social security system.

“To address this matter, EPF is looking to extend EPF coverage to this under-served segment. The collaboration with the National Film Development Corporation Malaysia (Finas) to open this to the creative and performing arts industry, is definitely a good start.”

On the contribution programme for spouses, he said EPF provides an avenue for husbands to voluntarily transfer 2% out of the minimum 11% monthly EPF contribution into their wives’ EPF accounts.

“EPF has always acknowledged women, irrespective of whether they have full-time careers or are housewives, as valuable and significant contributors to the economy.

“Women tend to shoulder the bigger part of the responsibility for care-giving duties in the family. Stable families improve productivity among workers, so wives should also enjoy some social security benefits,” he said. - FMT