EPF signs MoU to encourage Grab drivers, delivery partners signing up for i-Saraan, self-contribution

According to the EPF's CEO, the retirement fund is looking forward to have Grab drivers and delivery partners signing up as the fund’s members and contribute voluntarily to their retirement savings, be it via i-Saraan or self-contributions. (Photo by Mohd Suhaimi Mohamed Yusuf/The Edge)

According to the EPF's CEO, the retirement fund is looking forward to have Grab drivers and delivery partners signing up as the fund’s members and contribute voluntarily to their retirement savings, be it via i-Saraan or self-contributions. (Photo by Mohd Suhaimi Mohamed Yusuf/The Edge)

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KUALA LUMPUR (Sept 7): The Employees Provident Fund (EPF) has signed a memorandum of understanding (MoU) with Grab Malaysia to encourage Grab’s community of driver and delivery partners to save for their retirement via the EPF’s i-Saraan programme for those below the age of 55 or the self-contribution programme for those aged 55 and above.

The MoU is a continuation of the first MoU signed between the two parties in August 2018.

In a statement today, EPF chief executive officer (CEO) Datuk Seri Amir Hamzah Azizan said the retirement fund is looking forward to have Grab drivers and delivery partners signing up as the fund’s members and contribute voluntarily to their retirement savings, be it via i-Saraan or self-contributions.

“Not only does this help them prepare for their retirement, they will also be able to enjoy benefits as EPF members, such as annual dividends, tax relief and other benefits accorded to members,” he said.

Meanwhile, Grab Malaysia managing director Sean Goh said the company is committed to providing equal access to new income opportunities and help tackle underemployment by encouraging supplementary income via the digital economy, especially for those in unique circumstances, such as persons with disabilities (PWDs) and retirees.

He said the company saw a rapid increase in driver and delivery-partner applications with over 50,000 people joining the platform due to the Covid-19 pandemic.

“They work hard every day to provide for themselves and their families, so it’s on us to keep pushing the boundaries.

“That is why we have gone the extra mile to contribute an additional 10% for partners aged 55 years and above who contribute via the self-contribution programme and, for PWD partners, to encourage them to look after their livelihoods,” he said.

Following the MoU signing, Grab will be offering incentives such as an additional contribution of 5%, up to a maximum RM80 annually, to drivers and delivery partners below age 55 who contribute to the EPF via i-Saraan and an additional contribution of 10%, up to a maximum of RM120 annually, to drivers and delivery-partners aged 55 years and above who contribute to the EPF via self-contributions.

The e-hailing company will also offer an additional contribution of 10%, up to a maximum of RM120 annually, for driver and delivery partners classified as PWDs across all age groups.

i-Saraan is a voluntary contribution programme designed to allow individuals in the gig economy and the self-employed to save up for their retirement through contributions to the EPF.

Under i-Saraan, members will receive government incentives of up to 15% of the individual’s annual contribution, subject to a cap of RM250 per year, while under the self-contribution programme, EPF contributions can be made by any individual at any time up to a maximum of RM60,000 per year.