IPOH: THERE is a need to establish a National Social Security Council (NSSC) to cater for the needs of the aged come 2020.
National Institute of Occupational Safety & Health (NIOSH) chairman Tan Sri Lee Lam Thye said the council was necessary as the savings of average Malaysians would not be adequate to sustain their lifestyle when they retire.
“With the United Nations projecting Malaysia to become an aged nation in 2030, where 15 per cent of its population are elderly people, the setting up of the council will be timely,” he said.
Speaking at the ground-breaking ceremony for the GreenAcres Retirement Village in Meru, developed by Total Investment Sdn Bhd here recently, Lee said figures from the Employees Provident Fund (EPF) indicated that 68 per cent of members, aged 54 in September this year, had less than RM50,000 in savings.
“When one retires at 55, and if they spend RM800 monthly, their savings will last them about five years. However, as the average life expectancy of Malaysians has increased, the concern is whether they would have enough savings to sustain them for the rest of their lives,” he said.
Lee said the council should draw up a national blueprint for old-age retirement income, healthcare and support system.
“The plan should detail the overall vision of how Malaysia plans to cope with the challenges of providing for the increasing number of elderly folk.
“The plan should also take into account issues facing our social security system, political and economic environment, tri-partite consideration on risk-sharing and contributions, and effective resources management,” he said.
Lee said, an integrated and coherent social security system could mean better contribution payment and enforcement, coordinated service deliver, and better management of resources.
“Those who are placed in charge of the NSSC can seek the support of social security experts to provide direction in the national blueprint for the sake of the elderly and those who have retired.”
He said according to the Statistics Department, the life expectancy of males and females had increased considerably since 1960.
“For a man, his life expectancy rate was 52 years in 1960 compared with 75 years today.
“A woman’s life expectancy was 55 years compared with 77 years now.”
Total Investment executive director John Chong said the village would have 170 units built on a 4ha plot.
“The village will be gated and guarded, and have facilities such as a clubhouse, in-house shuttle service and an emergency call system,” said Chong. He said the first phase of development was expected to be completed in two years.