“They risk legal action” – Over 14,000 Directors Barred from Travelling Abroad for Unpaid EPF Contributions

In an official statement released yesterday (13 March), the EPF said the figure brings the total number of company directors prohibited from travelling abroad to 14,332 as of December 2025, under Section 39 of the EPF Act 1991.

EPF Chief Operating Officer Sazaliza Zainuddin said the measures were part of enforcement efforts to ensure employers fulfil their responsibility to contribute to their employees’ retirement savings.

Throughout 2025, the EPF also filed 3,530 civil suits and initiated 6,011 criminal actions against company directors and employers who failed to make the required contributions.

She said all employers are legally required to pay employees’ EPF contributions in accordance with Section 43(1) of the EPF Act. Employers who fail to comply may face enforcement actions, including civil proceedings, criminal prosecution and travel restrictions.

“Our enforcement team continuously monitors employers to ensure contributions are paid accurately and on time. Timely payments are important not only to protect employees’ rights but also to ensure their retirement savings continue to grow,” she said.

She added that the EPF’s regulatory framework is designed to ensure employers meet their obligations to contribute to employees’ retirement funds. Without such statutory mechanisms, employees would have limited means to ensure their employers consistently contribute to their retirement savings.

However, 12,161 cases remain under investigation and legal action.

The EPF stressed that it will investigate every complaint and take the necessary action to ensure employees’ rights are protected.

 

Members are also encouraged to regularly check their EPF accounts via the i-Akaun application to ensure their employers’ contributions are credited on time and in the correct amount.