Does the EPF Act 1991 allow disaster withdrawals?

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The EPF Act 1991 Does Not Permit Withdrawals for Natural Disasters

The Employees Provident Fund (EPF) Act 1991 does not contain any provisions that allow for withdrawals to be made in the event of natural disasters. The Act clearly delineates the purpose of members' savings, with Account 1 designated for retirement and Account 2 intended for discretionary withdrawals that contribute to a more secure retirement.
Account Structure and Purpose

Under the EPF Act 1991, members' savings are divided into two accounts. Account 1 holds 70 per cent of the total savings and is strictly designated for retirement purposes. Account 2, comprising the remaining 30 per cent, is allocated for discretionary withdrawals, aimed at enhancing members' retirement security and future well-being.
No Provision for Disaster Relief Withdrawals

The EPF has explicitly stated that there is no clause within the EPF Act 1991 that permits members to make withdrawals from their accounts in response to natural disasters. This underscores the primary mandate of the EPF as a fund established to safeguard members' savings for their future retirement needs.
Support for Disaster Relief

While direct withdrawals for disasters are not permitted by the Act, the EPF has demonstrated its commitment to supporting disaster relief efforts. The fund has allocated RM10 million, sourced from its budgeted operational expenditure, to the Government-Linked Investment Companies (GLICs)/Government-Linked Companies (GLCs) Disaster Response Network (GDRN). This aid will be provided in the form of in-kind donations through accredited non-profit charity organisations, focusing on essential items for those affected by disasters.

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Does the EPF Act 1991 allow disaster withdrawals?

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