PETALING JAYA: The Social Security Organisation (Perkeso) is working on ways to ensure that retirees in their golden years are looked after.
According to Perkeso deputy chief executive officer of strategy and corporate Edmund Cheong, it is said that many individuals are lacking retirement savings to live comfortably, the New Straits Times reported.
One of the two plans involved in the care of retirees in their golden years is akin to a pension scheme called the ‘Aged Care Protection’, as quoted.
“This will require contributors to make additional payments, and once they retire, they will get monthly payouts based on a percentage of their average earnings during their working years.” Cheong was quoted as saying, adding that more details on the plan have yet to be finalised.
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Meanwhile, the second plan involved ‘Aged Living Centres’, as quoted, reportedly designed to provide support for senior citizens all over the country.
Perkeso plans to provide well-quipped, “:safe, comfortable and wel-equipped” accommodation adjusted to society’s needs, also serving as platforms for the elderly to maintain their fitness and “stay connected”, as quoted.
“Perkeso will also provide nutritious meals and access to essential healthcare services.
“But Perkeso does not believe in institutionalisation, so these centres will be integrated into society. Activities and social programmes for senior citizens will be facilitated to enhance their quality of life,” he was also quoted as saying.
Cheong added that the government organisation will be anticipating a ‘Golden Tsunami’, as quoted.
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He also commented on Deputy Human Resources Minister Datuk Seri Abdul Rahman Mohamad’s remarks in the Dewan Rakyat, pointing out that Malaysia is heading toward becoming a “super-aged country” by 2055, as quoted, estimating 20% of the population will be over 65 years old, according to the World Bank.
Currently, Perkeso’s coverage is limited to those working, regardless of age, which leaves many retirees without a safety net.
Those in the private sector and non-pensionable civil servants do not have lifelong pensions as it is, compared to civil servants qualified to receive their pension.
In November 2023, 6.3 million Employee Provdent Fund (EPF) members under 55 years old reportedly have less than RM10,000 in their accounts.
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Cheong added that Perkeso wanted to assist the country prepare for the ‘Golden Tsunami’.
“If we do not prepare now, we will be headed for old-age poverty. We must ensure no one is left behind,” he was quoted as saying.
A detailed proposal will be presented by Perkeso to Human Resources Minister Steven Sim by the end of the year.
