Friday, November 7, 2008

malaysiakini: Now the Government Acts Like a BIG BULLY

We all know that UMNO has always behaved like the big bully in the BN as reported by a few of the component parties.
It is therefore not surprising that in its ill-conceived plan to boost the economy, the authorities now want workers to sacrifice their retirement funds by reducing EPF deductions by 3% starting from January 2009.
It is common knowledge that many retirees do not have enough funds in the EPF when they retire and many use up the money within 5 years.
At least one union has voiced its objections to the automatic deduction as described in this malaysiakini article MAS union objects automatic EPF cuts.
They rightly claim that those who want to should opt for the deduction. Looks as if the EPF is helping the government in the role of BIG BULLY.
With computer technology, it is so easy for workers to opt in using the Internet - so why does the EPF want to disadvantage workers?
Those in the higher income bracket should also note that your income tax may increase if your EPF is reduced.
The government should look very seriously into cutting its headcount. There was a recent report that Immigration were looking to increase their numbers by 20,000. There should have been a transfer of staff rather than more people.
I also suggest that the government should offer VSS to perhaps 10% of their manpower as this could create more entrepreneurs and reduce the civil service numbers.

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