KUALA LUMPUR, August 28 - A total 635 names of company directors who failed to clear their Employees' Provident Fund (EPF) contribution arrears between January and June 2024 have been submitted to the Malaysian Immigration Department (JIM).

The EPF in its statement informed that the move aims to hold the directors involved from leaving the country, until the arrears are settled.

Its chief operating officer, Sazaliza Zainuddin reminded all employers to remit their employees' contributions promptly, as stipulated under Section 43(1) of the EPF Act.

Failure to pay contributions on time is a serious offense and subject to legal action.

"As of June 2024, a total of 13,820 employers out of 685,399 employers registered with the EPF, have failed to pay their employee's contributions."

"For the same period, 12,787 company directors have been barred from leaving the country due to unpaid contributions, as stipulated under Section 39 of the EPF Act 1991," the statement said.

In addition, a total of 1,932 civil suits were filed against company directors for the period between January and June 2024, while 2,200 criminal cases were brought against defaulting employers.

EPF also advises members to regularly check their accounts through the KWSP i-Akaun app to ensure their employers’ contributions are done accurately and timely.