In the year 2012, there is an issue between NCH corps and its employees regarding the EPF contribution of accrued dividend and late payment amounted to RM92…
A FEW MONTHS LATER
Why there is still no action being made?!
NOTICE FROM PLAINTIFF
Employees (Plantiff) want to defend and seeks right about the above issue where the right to receive incentives under Section 2 EPF Acts 1991 which states that it is “inclusive” under the definition of wages.
After that , plaintiff had submitted notice to NCH Corp about the payment of the accrued contribution money in the same year.
NCH CORP(M) SDN BHD
After several months, NCH Corp response to the notice through the legal letter. The response was, the incentive paid to the employee are not wages under Section 2. In 2013,there is still no action taken by NCH Corp, so plaintiff filed another notice of claim against NCH Corp.
Based on the issue above whether the incentives is mentioned under the definition of wages or not. Court solve the dispute by referring to the section 2 epf acts and related cases ghani dgn tnb and decided that the incentives are include under the definition of wages. Therefore, NCH is liable to the accrued payment. The agreement state that company is responsible to provide contribution to its employees if not it is contrary to the provision under Section 24 Contract Act 1950
NCH CORP(M) SDN BHD (DEFENDANT)
From this case we learned that employees can claim the unpaid EPF contribution payments if only they fulfill the prerequisite. Thus, NCH corp as a company is compulsory of contribution to their employees about the EPF incentive payment to make the agreement lawful according MAlaysian law.