Malaysia legislation

Section 5

of EMPLOYEES PROVIDENT FUND (AMENDMENT) ACT 2016

Section 5

The principal Act is amended by substituting for section 27

the following section:

Quoted provision

Section 27

(a)

in relation to contributions made by the members of the Fund who have not elected for their accounts to be managed according to Shariah under section 43a or who have made the elections under section 43a but the elections have not come into effect, at any rate according to the actual performance of the investment made by the Board in relation to the accounts which shall not be less than two and one half per centum per annum; and

(b)

in relation to contributions made by the members of the Fund whose elections under section 43a have come into effect, at any rate according to the actual performance of the investment made by the Board in relation to the accounts.

(2)

Subject to section 50, the dividend declared under subsection (1) shall be payable on contributions to the

Fund according to the accounts of the members of the Fund respectively.

Employees Provident Fund (Amendment)

(3)

Notwithstanding paragraphs (1)(a) and (b), no rate of dividend exceeding two and one half per centum per annum shall be so declared—

(a)

unless the Board is satisfied that the ability of the

Fund to meet all payments required to be paid under this Act is not endangered by the declaration of such rate; and

(b)

if any sums advanced by the Government of Malaysia under section 28 have not then been repaid.”.

Amendment of section 43

Section 5 — AKTA KUMPULAN WANG SIMPANAN PEKERJA (PINDAAN) 2016