When can foreign workers access their savings from the new scheme?

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Foreign Workers Can Access New Scheme Savings After 10 Years in Home Country

Foreign workers participating in the proposed new savings scheme will be able to access their accumulated funds only after a period of 10 years, and specifically within their country of origin. This condition is designed to ensure that these workers return home upon the expiry of their temporary working visit pass (PLKS). The Human Resources Minister, Datuk Seri M. Saravanan, indicated that this mechanism aims to address the issue of foreign workers overstaying or refusing to return to their home nations.
Savings Scheme Linked to Return Home

The government is developing a savings scheme for foreign workers to tackle the problem of them not returning to their countries of origin. This initiative stems from observations that many foreign workers do not have sufficient savings, which contributes to their reluctance to leave Malaysia after their 10-year temporary working visit pass (PLKS) expires. The proposed scheme includes a stipulation that the savings can only be withdrawn in their country of origin, and only after a decade has passed.
Condition for Withdrawal

A key feature of the planned savings scheme is the withdrawal condition tied to the worker's home country and a 10-year timeframe. This policy intends to provide foreign workers with a financial incentive to return home, as they will be unable to access their saved money until they are in their country of origin and have completed the 10-year saving period. Minister Saravanan stated that this measure would necessitate their return to claim their savings.
Implementation Considerations

The implementation of this savings scheme is not immediate and requires careful consideration of several factors. These include aligning the scheme with indicators of forced labour as defined by the International Labour Organisation. Furthermore, the capacity of employers to meet the requirements of such a scheme is another critical aspect that needs to be assessed before it can be rolled out.

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When can foreign workers access their savings from the new scheme?

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