Posted on by Kit

Haslinda vs EPF

vs EPF

One of the buzzwords in vogue when Datuk Seri Abdullah Ahmad Badawi took over as the fifth Prime Minister of Malaysia was “quality public service delivery”.

At the first Cabinet meeting he chaired as Prime Minister on 5th November 2003, Abdullah directed every Minister to set up a task force to cut red tape, fight corruption and deliver quality public service.

Abdullah is in his fourth year of premiership, but all these buzzwords have come to nought to the extent he has to set up a high-powered committee to review why these reforms had failed in the past three years.

Even the EPF, a quite efficient outfit in the past, seemed to be afflicted by the new malaise of service inefficiency and indifference as highlighted by the plight of UiTM final-year student who, thanks to EPF, is in danger of losing her student status. And this affects not just Haslinda but all similarly-placed students.

I will phone the new EPF Chairman Tan Sri Samsudin Osman tomorrow and hope that the newly-retired Chief Secretary to the Government will have a satisfactory response.

Haslinda’s fax to the EPF Chairman follows:

BY FAX: 03-2691 5598

Haslinda Binti Abd Karim
Puchong
Selangor
STRICTLY WITHOUT PREJUDICE

5 March 2007

Chairman
Kumpulan Wang Simpanan Pekerja
Bangunan KWSP
Jalan Raja Laut
50350 Kuala Lumpur

Attn: Tan Sri Shamsudin Osman
WITHDRAWAL SCHEME FOR EDUCATION — SELF
HASLINDA BINTI ABD KARIM

I refer to the above matter.

I wish to reiterate my case to you. I have submitted the application for EPF Withdrawal Scheme for Education — Self on Wednesday, 17th January 2007 at your Shah Alam Office (REF NO. 001100000044825). I have also forwarded all the necessary documents required by you.

Until now, I have yet to receive the said cheque and also there is no communication on your end as to when I will be getting my payment. To my horror, today, I received a “SURAT GUGUR STATUS SEBAGAI PELAJAR” letter from my University. It is really shocking as I am now in my final year and in the midst of being dropped from the STUDENT STATUS. The letter also stated that I am given until 23 March 2007 to submit the EPF cheque.

Questions:

1. WHAT HAPPENED TO MY APPLICATION? I HAVE CHECKED WITH MY FRIENDS AND THEY ARE ALSO FACING THE SAME PROBLEM!! I WAS BEING TOLD BY YOUR EMPLOYEES THAT THIS IS DUE TO THE NEW MACHINERY/EQUIPMENT BEING INSTALLED, AND THERE ARE BACKLOGS THAT DATED WAY BACK TO LAST YEAR!! THAT IS NOT MY PROBLEM OR CONCERN!! WHERE IS MY MONEY??

2. WHAT HAPPENED TO MY MONEY/CONTRIBUTIONS?? DOES THIS MEAN THAT THERE IS NO MORE MONEY IN EPF AND THAT IS THE MAIN REASON BEHIND THIS DELAY??

3. SHOULD I FAIL TO SUBMIT THE EPF CHEQUE BY 23RD MARCH 2007 TO MY UNIVERSITY, I WILL BE DROPPED FROM THE STUDENT STATUS!! IS THIS ONE OF THE WAYS THAT YOU IMPOSE IN ORDER TO CURB THE MALAYS FROM FURTHERING THEIR STUDY?? IF THIS REALLY TAKE PLACE, I WILL NOT HESITATE TO SUE YOU AS THE NEGLIGENCE ARE DONE ON YOUR SIDE AND YET I AM BEING PENALISED FOR IT. FOR YOUR INFO, WE ARE BEING CHARGED RM80.00 BY OUR UNIVERSITY FOR LATE PAYMENT PENALTIES EVEN THOUGH IT IS NOT OUR FAULT, YOU MUST BEAR THE COST!! I AM SERIOUSLY ASKING YOU TO PAY FOR IT AS THE DELAY AND HICCUPS ARE ALL YOUR DOING!! THERE IS NO USE OF GETTING NEW MACHINERY/EQUIPMENT OR EXTENDING YOUR CHAIRMANSHIP FOR ANOTHER TWO YEARS WHEN THERE IS NO NOTICABLE IMPROVEMENT IN THE EPF SYSTEM!! MAYBE WE SHOULD PRIVATISE THE EPF!!

4. I have earlier complained on 16 January 2007 on the slow and inefficient service at your Shah Alam Office which has forced me to take ½ day leave. Again, I am attaching the same letter sent to you on the above date. ONCE AGAIN, UNTIL NOW, I HAVE NOT RECEIVED ANY FEEDBACK/RESPONSE FROM YOU!!

WHAT DO YOU PEOPLE WANT ME TO DO NOW?? WHAT IS YOUR RESPONSE ON THIS MATTER?? WHERE DO WE GO FROM HERE?? AFTER READING A LOT OF COMPLAINTS IN THE NEWSPAPERS LATELY REGARDING YOUR SERVICES, I AM SERIOUSLY THINKING OF HIGHLIGHTING THIS ISSUE TO THE PRIME MINISTER PERSONALLY AS HE IS ALSO THE 1ST FINANCE MINISTER.

TREAT THIS MATTER SERIOUSLY AS IT INVOLVES MY FUTURE AND MY TRUST IN THE CURRENT, EXISTING SYSTEM!!

Yours faithfully

Haslinda Binti Abd Karim

42 Replies to “Haslinda vs EPF”

  2. Funny thing is I had a good experience with EPF when I went to w/d for my housing loan. The branch was in PJ, next to Amcorp Mall. Whatever it is, it gives EPF no reason for the lousy service. Yea maybe EPF no money already.

  3. As the system had proved beyond reasonable doubt, that anything to do with the government, you are sure to have problems and hiccups. Privatization is not a solution either as can be seen in many of the GLCs ( eg Telekom, Pos Malaysia, Syabas, Inland Revenue Dept, etc)
    Coming back to EPF It is now headed by a former Chief Secretary to the Government who has echoed the sentiment of TDM when the latter said that “a little bit of corruption is OK”. Iam sure most people can still remember this. Hopefully this culture has not filtered into EPF.
    Back to EPF itself, I had also my taste of the bitterness with EPF which I would like to highlight here and I am sure not many people are aware of this unorthodox system in the EPF. When my wife retired and withdrew her money she was paid a dividend less than what is declared for that particular year. Their contention is they are using the best methodology of using the previous year dividend for calculation. To me this is totally unfair as who will want to loose for somebody to gain as what is cited by them that some will loose and some will gain. To me I think those highly paid civil servants are just taking the easy way out and with our modern technology there is no excuse for them to say it is difficult to calculate when I can easily show them how it can be done. I had spoken and written to them and until today, already more than 2 years they are still insisting on their best methodology. So what can you expect of them. They are just sitting down and warming their arse.

  4. Epf should be abolished and employees should be allowed to invest their contributions to other more reliable trusts. Better take it away from these monkeys before they gadai everything…..

  6. Gentlemen, Please dont forget EPF has to help finance the 9 MP which will cost around $200 billion.Most of these money will help pay for UMNO class A contractors who are given contracts.So please be patient. Wait abit longer till the 9MP is finished and then you can apply for your EPF money.Meanwhile please dont bother to apply cos they will not entertain your request even if you beg and crwl on the floor.

  8. Further all contributors must appreciate that EPF has lost their investment in the following companies and therefore tight on liquidity for the moment.
    Loss on the following:
    1. MAS
    2. Bank Islam
    3.Bank Pertanian
    4 RHB bank
    5. MBSB (nearly $1 billion when Puan Rosmah was CEO)
    6. Just bought property from MRCB(an UMNO company) for $80 Million.
    7.Bought equtiy in Healthcare Columbia Asia for $30 million.

  10. It is time we go back to the conservatism of the first Governor of the Central Bank, Ismail Ali. It is never the role of the EPF to take up equity in commercial ventures.

    It is time we stop the continued hemorrhaging of public funds meant to provide security to retirees.

  11. EPF pays avg 4-5% over the last 5 years right? In general, prices of basic necessities like housing, car, food items doubles up every 10 years (thats an 8% compunded escalation every year) [simplistic way is to just look at average terrace house in suburb – they cost RM100k 20 years ago, RM200k 10 years ago and RM400k now, and will likely cost RM800k in 10 years down the road, and RM1.6mm in 20 years later]. At 4% inflation, if I have RM500k now in EPF, it will mean RM250k 10 yrs down the road (at todays money) and a mere RM125k 20 yeard down the road (at todays money). Am I right here? any accountant in the house?

  12. The least Chairman Tan Sri Shamsudin Osman can do is to call Haslinda who is in Puchong to come and see him in his KWSP office to explain to her why her application is delayed. It will only take 5 to 10 minutes of his time.

  14. New computer system and all screwed up.Off course it is not their fault, it is the computers fault. Stupid, garbage in, garbage out.

    EPF make the payment to the lady and for the fines, plse take it out from the chairmans/CEO’s pocket, not contributors money. Ensure she is accepted back into the University

  15. hasilox wrote:
    ///..EPF got no more money?
    Scary possibility…///

    Yup. I believe : Fact is stranger than fiction.

    The Govt’s feel-good pronouncemnets about our nation’s wealth, our superb economic performance, our just-missed 1350 KLCI, our multicultural and harmonious multiracial social and political stability, all the shiok-sendiri stories dished out in the mainstream media……

    Place the above side-by-side with hasilox’s comment.

    Now between the 2, let’s vote – Which is FACT, which is FICTION.
    We can make a good guess what the answer is, can’t we?

    Just an observation:- I appreciate that EPF is continuously trying to improve its customer service, perhaps its image too, but I fail to understand the wastage of manpower and staff cost when they place a staffmember fulltime next to the kiosk at the lobby of EPF Raja Laut simply to help members insert their MyKad into the machine, or helping with the touchscreen, for a straightforward balance enquiry and printout. But isnt the whole purpose of having a kiosk/machine to minimise the necesssity for members to have to deal with staff unnecessarily? Or is EPF simply doing its national service for unemployed/-able graduates? Sheer wastage of the staffmembers time. Could he not be re-deployed to a more productive function? How such a staffmember stays motivated is hard to see.

    IMHO, the EPF, as far as public interaction i.e. frontline service, is one of the better Govt depts. It’s the workings of investment committees and their investment decisions which are worrying.

  16. Things are not so simple in Malaysia today, is not about the computer. Look at the headlines in the past few days, and the performance of the stock market today, we are in a real disaster!

  17. Employees Poverty Fund will live up to its name sooner than we think. HEck, if they wanna screw up with our money shouldnt I hv the right to do it myself? I mean, I would be happier if I messed up with my own money my way and get the thrill our of it. Wouldnt you like to fling with your thousands at one go at Genting?

  20. there are good and bad about EPF services. it all depends, who is handling your case. some staff, do have this “tidak apa attitude”, and this are the ones that should be sack immediately!
    i have applied for a withdrawal from my account 2 or 3, for my wife medical at shah alam EPF. it took the person in-charge two weeks, to call me to get the cheque.
    maybe, haslinda and some of them are the unlucky ones that might have been handle by someone who has got no care less attitude, they talk more than working.
    was there, saw only few that are really working, the rest, chit chatting and laughing from one table to another. same goes to DBKL and JPJ.

  21. I would believe it if someone says that EPF has no more money. With the new 9MP and the PM saying that EPF will be used to fund private projects that no one else wants to fund (which means it stinks so no one else wants to fund so EPF is just a money pot), it isnt hard to believe so.
    This is a lesson to the PM when he is too stupid to know what “perception” means when he said that the corruption perception of this country is just what people think and not what is actually happening. Right now, many people have the perception that the PM is a useless, lying, blood sucker (vampire in sami’s words). Even if it is not true, many people will still want him out.
    To Haslinda, maybe u can try first to borrow from the bank and then get EPF to pay for the interest rate. if I can remember the law that i studied, EPF should be taking up responsibility for all the costs incurred to u if they breach e contract.

  23. k1980: For Haslinda accept the invitation by Chairman Tan Sri Shamsudin Osman is dangerous. There are lots of Oil Palm plantation around. Who knows he might possess C4 in his pocket. The rest is to your imagination…. :-)

  24. Unc Kit,

    I have been a faithful follower of your blog for a while now but I can’t help but come to realise that you are getting involved in trivial things like these which could be handled effectively by your colleagues in DAP. I believe it is more effective if you are able to table out your own sets of policies to govern Malaysia if DAP takes office. Please hurry up as time is running out for you and DAP to pre-launch this policies before the next GE. I am looking forward to change and so is many suffering Rakyat.

  25. Each time a citizen come face to face with the immoveable bureaucratic wall, he/she invariably goes to the DAP. I have, over the years seem MCA, MIC and even UMNO members and supporters turning to the DAP for help.
    achia3, this case may seem trivial to you but it isn’t to Haslinda. You feel her sense of desperation and helplessness. To her this is NOT TRIVIAL.
    And any opposition member, regardless of his position in the party will take up any grievance of the people – trivial or otherwise.
    Tell, which UMNO member is going to take up Haslinda cause with the vigor of an opposition member.
    Come election time, most of these government supporters will return to the BN and vote in their candidates.

  27. It is difficult to invest such huge sums of money in a small economy like Malaysia and expect above 5% returns year after year. With EPF becoming a money lender of last resort to various schemes and companies, the fund may actually be bleeding. But then it is like a pyramid scheme: as long as contributions exceed withdrawals, all will be well for decades to come. But should the population start to age and birth rates come down and economic growth stagnate…

  28. I am very priviledged that my comment has finally found some replies and not just one but two.

    Libra2 and hasilox… please do not misunderstand the word trivial in my previous post. I too had my fair share of hitting the wall with public service sector and I am sure when Haslinda sends in her grieve to Unc Kit, his faithful political secretary will immediately pick this up and uploaded on to the blog. But my frustration is that I have not seen any policy that this powerhouse Opposition has conjured up to make them a viable solution to the BN government.

    In all fairness to Unc Kit and co, they have been a fantastic opposition. Although I hope that is not the case in the next GE but no matter how rotten the BN government is, I can’t help but reside myself in believing that they will get back in power albeit not in the 95% majority we see before but at least retaining the 2/3 majority. Not convinced… do the maths and it will tell you statistically to BN 2/3 will always be a possibility. Unless….. Malaysia moves towards a two party system.

  29. Opps.. Unc Kit.. please pardon my misuse of language structure in the 2nd para. Here is the rephrase..

    “In all fairness to Unc Kit and co, they have been a fantastic opposition. However, no matter how rotten the BN government is, …….”

  30. BN must be removed from power. PERIOD.

    The EPF is used as the ‘PIGGY BANK’ by UMNOputras to finance their pet projects.

    EPF’s annual dividend of 5.5% is peanuts! IT CAN’T EVEN PAY FOR THE INCREASE IN FUEL COSTS AND TOLL! I don’t want to put my money in the EPF unless the returns is at least more than the inetrest rate that I have to pay for housing loans. MAKES SIMPLE SENSE. Why should I borrow from the Bank at higher rates when I have idle money in EPF earning lower rates. WHO AM I SUBSIDISING! BUT I am forced by the BN government to do it so they have access to cheap money and zero risk to finance UMNOputras ventures!

    You can’t compare the returns to Bank’s FD rate. Many of us do not want to put our money in FD either. The rates are artificially low. Controlled by BN government again!

    At the end of the day, the RAKYAT suffers.

    Kudos, Haslinda. It’s your money. Fight for your rights.

    Also, why is the computer system screwed up! Why didn’t they do a dry run and parallel processing before crossover. OR is the new computer system bought from UMNOputras again!

  32. My uncle had a bad problem with EPF. When he wanted to withdraw his money, they told him that his thumb prints did not match their records. He did not undergo any thumb transplant so how come now his thumb prints don’t match?

    When he was 50 he had no problems withdrawing his money but 5 years on, his thumb prints don’t match so he cannot get his money since October 06. He’s been to EPF half a dozen times as he needs the money as he’s retired and has no income. He’s now having to borrow money from relatives which can be very embarrassing.

    The staff told him the fund has to check their records to ensure they pay the right person. Fine, but why is it taking so long? EPF has a new system they say and there are a lot of bugs but surely the bugs should have been got rid off before the system went ‘live’?

    Money due to him have also not been credited into his account as there is a huge backlog of postings to be done, and they are 3 months behind in their postings, they say as a matter of fact. EPF will give him his money in due course but don’t know when. Will he get compensated for lost interest, traveling expenses and for his hardships?

    Is EPF not keen to catch up on its huge backlog? If overtime is needed to get things up to date, then shouldn’t they do so and get more staff on the job? When will my uncle get his money? 2008?

    All the ‘berkhidmat untok negara’ slogans are not worth anything if there is considerable inefficiencies everywhere and the public suffers.

    If EPF cannot get its act together, then it has no business trying to buy the RHB Group as I fear this will turn out into a disaster.

  33. In order to catch up with the supposed 3-months backlog in posting and entries of employers’/members’ contributions and withdrawals, it’s not overtime which is needed. It’s also not manpower/headcount in numbers.

    They need just normal, average thinking brains… which their senior levels find in very, very short supply amongst themselves.

  34. From MALAYSIAKINI:

    “EPF will offer RM2.2 billion for a 32.8 percent stake in RHB currently held by its single-largest shareholder, Utama Banking Group.”

    Question: Is RHB worth RM6.707 billion? Can any investment banker comment?

    Figures extracted from STAR newspaper (6.03.2007):

    PE ratio: 21 (Market Price is 21 times the Earnings per share)
    Dividend yield : – (NIL?????)

    Is this a typo error on Dividend yield or what? The relevant point to note is that EPF has to pay annual dividends to its contributors based on its dividend income from investments and income on other assets (or sales of assets).

    At the end of the day, the figures must make economic sense before an investment decision is made. I only hope EPF is not making ‘political’ decisions with contributors’ money as has been suspected on so many occasions in the past.

    Anyway, so far as I know, nobody wants to keep their money with EPF after they turn 55. What does that say? Sure, the returns from EPF just isn’t attractive enough. Perhaps if EPF wants to attract the money of its senior citizens, it should offer a senior citizen package of 7.5% to 9.5%.

  36. Perhaps Malaysia should follow Australia’s Superfund system, since there is no safety net in Malaysia anyway.
    Australians are allowed to select their own Superfund Managers (there are thousands operating today) or managed their own Superfunds (Self Managed Super Funds). If they screw up, too bad but they can still revert to the safety net via Centrelink ie Pension scheme.

    In Malaysia, the only reason EPF can continue to pay interest is the contributions received from the younger contributers. Its more like a Ponzi sheme ie Tontine!! There will come a time when contributers are outnumbered by withdrawals and if things do not improved by then, Malaysia faces even more systemic problems!
    May I suggest that you start thinking of your options right now……….:).

  37. Hi all, this is my first time leaving a msg.

    Just want to say that, in order to change my address details, I was told by EPF staff, it will take 1 month for my application to process.

    And, that was my second time attempting to change the address.(I’m still not sure whether the amendment has been made or not,only will know when EPF statement comes out) Cheers.

  38. Ini biasalah forever no planing. Upgrading the system is the normal excuse. You people must think EPF is one of the nation important department. Think hard and plan hard before doing changes. The consequence and the inconveince causes to the public. You go to EPF Jalan Gasing 3rd Floor to check you get angry and laugh at those 1960 year stupid system still in use. EPF staff walking in and out and doing thing in the slow, steady and taking their own sweet time. You bolih tunggu tunggulah tak bolih tunggu belahlah. This is Malaysian style in today IT technology. Going backward, pusing balik.

  39. From Straits Times, Singapore:

    “Key ideas to increase CPF returns being looked at
    THE Government remains committed to helping workers earn better returns on their Central Provident Fund (CPF) savings and is mulling over some key ideas.”

    Maybe, EPF can learn something (no, a lot of things from CPF!). It’s a good thing Mahathir never succeeded to get those Malaysians’ contributions which were ‘stuck’ with CPF in those days. What a blessing in disguise for Malaysian contributors’ to CPF – capital appreciation and dividends to boot.

    Now with EPF having so many ‘bad’ investments, Malaysians should worry about the value of their savings when they retire – what with tolls, fuels, inflation right-left-and-center as a bonus!!

  40. Pingback: Lim Kit Siang » Blog Archive » Haslinda vs EPF (2)

  41. Dear Malaysian,

    Oops! Another big scandal in EPF lately? It is pity that the big bully, EPF is holding the Malaysian people money in ransom from denying a poor smart girl, Cik Haslinda from her rights to withdraw her hard earned income deposited in EPF to pursue her tertiary education. What happen to her money now? It is dam ridiculous for a trusted body like EPF to act unprofessionally and unprudent in managing Malaysian employees’ billion of RM including Haslinda.

    Why! EPF is financially in deep shit trouble and cannot pay her back with her moeny kept in this Public Trustee body like EPF, or EPF needs the contributors’ money to bail out RHB Bank and buy back shares from Utama Banking Bhd’s shareholders for a very high Billion premium.

    Why? EPF proposed to cut the percentage quantum from employer cum employee’s contributions for senior citizen above 55 years. This show that EPF does not know how to manage, invest and add value or increase ROI from our contributions. Why? Senior citizens are become victims to the change of EPF policy lately. Why? Our PM Pak Lah agreed with EPF proposal. Why? Malaysian are silent on this issue. Why! Malaysian Tidak Boleh Protest to Pak Lah on this issue.

    Why? Why? Why? Why I have to continue contributing my blood money to EPF since now I know that how difficult to get back my own hard earned blood money from EPF unless I have to go all out to write, cry, kowtow and shout loud in their office. MY GOD!

    Yes! I did experienced twice when withdrawing my own blood money in EPF office to buy and settle my old house in past 5 years. EPF officers were dam over efficient and effective to process my applications instantly within few days but minus the Donkey months to collect my cheques to pay my house deposit plus huge late penalty bills to the developer. I really thank EPF for its excellent services but poor draw down of money & quick services to collect the money from its contributors and fine the late pay employers. Suggest to “Fire” the EPF’s Chairman and CEO for their inefficient and poor management at the top levels.

    Last but not least,
    WE FULLY SUPPORT CIK HASLINDA TO TAKE EPF TO HIGH COURT IN SEEKING JUSTICE AND RIGHTS TO CLAIM OWN HARD EARNED BLOOD MONEY.

    Insya Allah Blessing

    Walaikum Salam,

    MUHIBBAH
    UK & USA

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