Malaysia legislation

Section 8

of *STATUTORY AND LOCAL AUTHORITIES PENSIONS ACT 1980

Section 8

(1A)

The organization to which a pensionable employee is appointed by or with the approval of the Government under subsection 13(2) shall make monthly contributions to the Pensions Trust Fund established under the Pensions Trust Fund Act 1991 at the rate of seventeen and half per centum of such employee’s monthly salary in respect of each pensionable employee whilst he is on the same terms and conditions of service as in the New Scheme.

(2)

Notwithstanding subsection (1), all monthly contributions by an employer up to 31 December 1980 shall be paid into the Fund established under the Statutory and Local Authorities Superannuation

Fund Act 1977 and upon the winding up of the Fund, all the contributions and income thereof, less any payments made in respect of pensions, gratuities or benefits granted under this Act, shall be transferred to the Consolidated Fund.

(3)

Notwithstanding subsection (1), all contributions made by an employer in respect of each pensionable employee at the rate set out in the Second Schedule of the Statutory and Local Authorities

Superannuation Fund Act 1977 up to 31 December 1980 shall be deemed to have been properly made.

(4)

Where the amount of monthly contributions which an employer is liable to pay in respect of all pensionable employees is not paid within the period prescribed in the regulations, the employer shall be liable to pay interest on such amount at the rate of half per centum in respect of each month or part of a month after the expiration of such

Statutory and Local Authorities Pensions 15

period during which such amount remains unpaid except that interest shall only be collected for arrears incurred after 1 January 1981.

(5)

The Minister may, with the concurrence of the Minister of

Finance, by order amend the rate under subsections (1) and (4).

(6)

The Minister of Finance may exempt interest which is liable to be paid under subsection (4) by the employer if he is satisfied that the delay is not due to a wilful act or is due to an act which is beyond the control of the employer.

Grant of pensions, etc.