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Employee Trust Act ( Formerly Known as Tabung Amanah Pekerja Act ) is Brunei Act, cited as Act 167 1993, currently marked in force and first recorded in 1993.
Chapter
S 32/1992
Amended by
S 10/1993 1999 Edition, Chapter 167
Amended by
S 9/1999
S 9/2000
S 16/2003
S 2/2007
S 6/2010
S 27/2014
S 29/2014
S 54/2014
S 29/2015
S 2/2016 2019 Edition, Chapter 167
Amended by
S 9/2024
S 10/2024
REVISED EDITION 2026
B.L.R.O. 1/2026
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REVISED EDITION 2026
Opening note
Part
Citation
This Act may be cited as the Employee Trust Act.
Interpretation
In this Act, unless the context otherwise requires —
“approved scheme” means a scheme established or approved by the
Minister under section 15B;
“Board” means the Tabung Amanah Pekerja Board established under section 3 of the Tabung Amanah Pekerja Board Act (Chapter 246);
“cash grant” means a cash grant made by the Government under any approved scheme for the purpose of section 16;
“contract” means any contract, whether written or oral, and whether expressed or implied;
“employee” means any person being a citizen or permanent resident of Brunei Darussalam, who is employed under a contract of service or apprenticeship or other agreement to work for an employer:
Provided that the Minister may, with the approval of
His Majesty the Sultan and Yang Di-Pertuan, by an order signified in the Gazette, declare any person or class of person not to be an employee for the purposes of this Act;
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“employer” means the person with whom an employee has entered into a contract of service or apprenticeship, and includes —
any person, company, association or body of persons, whether or not statutory or incorporated by whom an employee is employed;
any manager, agent or person responsible for the payment of wages to an employee on behalf of an employer;
the Government in respect of such categories, classes or descriptions of officers or employees of such Government as may from time to time be declared by the Minister, with the approval of
His Majesty the Sultan and Yang Di-Pertuan, by notification published in the Gazette, to be employees for the purposes of this
Act:
Provided that no such officer or employee employed by or on behalf of the Government shall be personally liable for anything done or omitted to be done by him as an officer or employee of such Government in good faith;
“Fund” means the Tabung Amanah Pekerja Fund established under section 11 of the Tabung Amanah Pekerja Board Act (Chapter 246);
“inspector” means an inspector appointed under section 5(1);
“interest in land” means any interest in land recognised as such by law, and includes an estate in land;
“land” includes land, freehold or leasehold, or of whatever tenure, whether or not held apart from the surface, and buildings or parts thereof (whether completed or otherwise and whether divided horizontally, vertically or in any other manner), and tenements and hereditaments, corporeal or incorporeal;
“local authority” includes a Municipal Board appointed under section 3(2) of the Municipal Boards Act (Chapter 57);
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“member” means a member of the Trust to whose credit any amount is standing in the Trust, or for whom any account in the Trust is maintained for any purposes of this Act;
“Minister” means the Minister responsible for finance;
“ordinary account” means an ordinary account maintained under section 15;
“Trust” means the Employee Trust established under section 6(1);
“wages” means the remuneration in money payable to an employee for work done in respect of his employment whether agreed to be paid monthly, weekly, daily or otherwise by the employer under his contract of service, apprenticeship or agreement or otherwise, but does not include —
the value of any house accommodation or the supply of any food, fuel, light or water or medical attendance, or of any amenity or services;
any contribution paid by the employer on his own account to any pension fund or provident fund;
any sum payable to the employee to defray special expenses entailed on him by the nature of his employment;
such other remuneration or payment as the Minister may, by notification published in the Gazette, specify.
(Repealed).
(Repealed).
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(Repealed).
Appointment of inspectors
The Board may, with the approval of His Majesty the Sultan and
Yang Di-Pertuan, appoint such number of inspectors as it may consider necessary for carrying this Act into effect.
The Commissioner of Labour and Deputy Commissioners of Labour, Assistant Commissioners of Labour under the Employment Act
(Chapter 278) may exercise all or any of the powers of an inspector for the purposes of this Act.
In the course of an inspection, an inspector or any of the officers referred to in subsection (2) may at any reasonable time —
enter any premises or place where he has reasonable cause to believe that a person is employed therein;
examine, either alone or in the presence of any other person with respect to any matters under this Act or which he may reasonably require information, any person whom he has reasonable cause to believe to be or to have been an employee or an employer, and require every such person to be examined, and for the purposes of such examination may summon any such person to attend at the place and time specified in such summons;
put questions concerning employees to their employers or to any person who may be in charge of them, or to the employees themselves, or to any other person whom he may consider desirable to question and the employers or employees or other person shall be legally bound to answer the questions truthfully to the best of his ability;
require any employer to produce before him all or any of the employees employed by him together with any contract of service, book of account of salary, register and other document concerning employees of their employment and to answer such questions relating thereto as he may think proper to ask;
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require any employer to produce for his inspection the audited statements of accounts of his undertaking and other records relating to the accounts and to answer such questions relating thereto as he may think proper to ask; and
make copies of any book, document or paper required to be produced under paragraph (d) or (e) and take possession of such book, document or paper when in his opinion —
the copying thereof cannot reasonably be performed without taking possession;
the book, document or paper may be required as evidence in any proceedings for an offence under this
Act or in any proceedings for the recovery of any monies due to the Trust.
If any person —
wilfully delays an inspector or any of the officers referred to in subsection (2) in the exercise of any power under this section;
comply with the requisition of an inspector or any such officer in pursuance of this section; or
produce any records, certificate, notice or document which he is required by or in pursuance of this section to produce; or
withholds any information as to who are the employees of any employer or as to who is the employer of any employee; or
conceals or prevents or attempts to conceal or prevent a person from appearing before of being examined by an inspector or such officer,
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that person is deemed to obstruct an inspector or that officer in the execution of his duties under this Act.
Any person who obstructs an inspector or any of the officers referred to in subsection (2) is guilty of an offence.
(Repealed).
Power to examine persons
Without prejudice to section 5(3), an inspector or any of the officers referred to in section 5(2), in the course of an inspection under section 5(3), may examine orally any person supposed to be acquainted with the facts and circumstances of the case and shall reduce into writing any statement made by the person so examined.
Such person shall be legally bound to answer the questions truthfully relating to such case put to him by the inspector or any of the officers referred to in section 5(2), but may refuse to answer any questions the answers to which would have a tendency to expose him to a criminal charge or to a penalty or forfeiture.
A statement made by any person under the provisions of this section shall be read over to him and shall, after correction if necessary, be signed by him.
Any person who obstructs an inspector or any of the officers referred to in this section is guilty of an offence.
Power to assess contributions based on information available
An inspector may assess any contributions which is due by any employer based on any information available if the employer —
fails to keep or maintain any statement, particulars, register book or any record pertaining to each employee as required to be performed by him under this Act; or
fails or refuse to submit any statement, particulars, register book or record pertaining to each employee as required to be submitted by him under this Act.
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The assessment made under subsection (1) shall be sufficient proof of the Board’s claim for the summary recovery of any contributions under section 31A.
Powers of Managing Director to require information and application for search warrant
For the purposes of obtaining full information for ascertaining whether any person is liable to pay contributions under this Act, the
Managing Director may, by notice in writing, require any person —
to furnish the Managing Director within a time specified in the notice, not being less than 30 days from the date of such notice, any information or particulars specified in the notice;
to attend personally before the Managing Director or any person authorised in that behalf by the Managing Director and produce for examination all books, accounts, records and other documents which the Managing Director or authorised officer deems necessary; or
to furnish the information or particulars in accordance with paragraph (a) and also to attend in accordance with paragraph (b).
Where a person is found guilty of an offence under subsection (4)(a), the court before which the person is found guilty shall order such person to comply with the notice of the Managing Director under subsection (1) within 21 days from the date of the order of the court.
Whenever it appears to any court, upon written information on oath, and after any enquiry it may think necessary, that there are reasonable grounds for suspecting that there are on particular premises any book, account, record or other document the production of which has been required pursuant to subsection (1) and which has not been produced in compliance with that requirement, such court may issue a warrant authorising the Managing Director or any person named therein with or without assistance —
to search the premises and to break open and search any cupboard, drawer, chest, trunk, box, package or other receptacle, whether a fixture or not, in the premises; and
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to take possession of, or secure against interference, any book, account, record or other document that appear to be the book, account, record or other document the production of which was so required.
Any person who —
obstructs the Managing Director or any person named therein referred to in subsection (3), is guilty of an offence.
Part
Establishment of Employee Trust
For the purposes of this Act, there shall be established a trust to be known as the Employee Trust into which shall be paid all contributions authorised under this Act and out of which shall be met all payments authorised to be paid under this Act.
Dividend shall be payable on contributions to the Trust at such rate per annum as the Board may declare from time to time:
Provided that the Board shall not declare a rate of dividend except with the approval of the Minister.
If the Board is at any time unable to pay any sum which the
Trust is required to pay under this Act, the sum required to be so paid shall be charged on and advanced to the Board from the Consolidated Fund and the
Board shall as soon as practicable repay to the Government the sum so advanced.
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Rate of contributions
Subject to any regulations made under section 38, every employer of an employee shall pay to the Trust monthly in respect of each employee contributions at the appropriate rates as shall be prescribed by the regulations under section 38, except that the Board may, in its discretion and on such terms and conditions as it may impose, authorise an employer or a class or classes of employers to pay those contributions at other intervals not exceeding 6 months.
Notwithstanding the provisions of any written law or any contract to the contrary, an employer shall be entitled to recover from the monthly wages of an employee the amount recoverable from the employee.
Where any employer who has recovered any amount from the monthly wages of an employee in accordance with subsection (2) fails to pay the contributions to the Trust within such time as may be prescribed, he is guilty of an offence and liable on conviction to a fine not exceeding $10,000, imprisonment for a term not exceeding 5 years or both.
Without prejudice to subsections (1) and (2) —
an employee may at any time contribute voluntarily to the
Trust a sum additional to that prescribed by regulations under section 38(1) as payable by the employee;
deduction by his employer from his monthly wages by giving to his employer written notice to that effect, and if he desires to cease to have such excess monthly contributions deducted from his wages he shall give written notice to his employer to that effect; or
an employer may at any time pay to the Trust contributions in respect of any of his employees at a rate in excess of the appropriate rate prescribed by regulations under section 38(1).
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Notwithstanding any contract to the contrary, an employer shall not be entitled to recover in any way from an employee in respect of contributions payable under this Act any sum in excess of that permitted to be recovered under subsection (2) together with any sum contributed voluntarily by the employee under subsection (4) and any employer who recovers or attempts to recover any greater sum is guilty of an offence.
The portion of any contribution recoverable from the wages of any employee in accordance with subsections (2) and (4) shall be recovered by the employer from the wages in respect of which the contribution is payable at the time of payment of those wages and not otherwise:
Provided that, subject to such conditions as may be prescribed by the
Board, where an employer has by error not occasioned by that employer’s negligence, omitted to recover from the wages paid to an employee any amount or part of any amount that he would otherwise have been entitled to recover at the time of payment of the wages, the amount or part thereof may be recovered from the wages payable by the employer to the employee not later than 6 months from the date of the payment of the wages in respect of which the amount or part thereof was omitted to be recovered.
Notwithstanding subsection (6), where wages are payable at intervals of less than one month, the employer may deduct from that employee’s wages at the time of each payment.
In the event of the death of an employee, no contributions shall be due under this section by or on behalf of such employee in respect of the month during which such death occurs:
Provided that where any such contribution has been received it shall be carried to the Trust in accordance with section 14.
All employees and every employer of such employees are liable to pay monthly contributions at the rates respectively prescribed by regulations under section 38(1).
Payment of contributions
Except where otherwise provided in this Act, the employer shall, in the first instance, be liable to pay both the contributions payable by himself and also, on behalf of and to the exclusion of the employee, the contributions payable by that employee; and for the purposes of this Act
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contributions paid by an employer on behalf of an employee is deemed to be contributions by the employee.
Contributions payable by the employer for himself and on behalf of the employee under subsection (1) shall be paid in respect of the first and subsequent month’s wages.
Notwithstanding section 10, where an employer fails to pay any contributions due within such period as may be prescribed, the employer shall in addition to such contributions be liable to pay the rate of dividend which would have accrued on such contributions if such contributions had been paid at the rate and in accordance with any manner and calculations determined by the Board.
Recovery by employer of employee’s contributions
Subject to the provisions of this section, the employer shall be entitled to recover from the employee, in accordance with this section, the amount of any contribution payable on behalf of the employee.
The amount of any contribution payable by the employer on behalf of the employee shall, notwithstanding the provisions of any written law or any contract to the contrary, be so recoverable by means of deductions from the wages of the employee due from the employer to the employee and not otherwise.
No deduction of any contribution shall be made —
other than the contribution in respect of the wages which are then being paid:
Provided that, subject to such conditions as may be prescribed by the Board, where an employer has, by error not occasioned by the employer’s negligence omitted to deduct any contribution or part of any contribution payable by him on behalf of the employee, then, such contribution or part thereof may be deducted from the wages payable by such employer to the employee not later than 6 months
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from the date of the payment of the wages in respect of which the contribution or part thereof was omitted to be deducted.
Any employer who contravenes the provisions of subsection (2)
or (3) is guilty of an offence under this Act.
Payment of service charge on contributions in arrears 10.
Where the amount of the contributions which an employer is liable to pay under this Act in respect of any month is not paid within such period as may be prescribed, the employer is liable to pay service charge on such amount for every day such amount remains unpaid commencing from the 16th day of the month succeeding the month in respect of which the amount is payable and the service charge shall be calculated at such rate as may be determined by the Board.
The Board may in any case in which it thinks fit waive the payment of the whole or part of, or remit in whole or in part, any service charge due or paid under subsection (1).
Refund of contributions paid in error [S 10/2024]
When the Board is satisfied that any amount has been paid in error to the Trust in respect of any person or as service charge under section 10, the Board may, subject to subsection (3), refund the amount so paid in error to the person by whom it was paid:
Provided that if the refund of any amount paid in error is not claimed within 6 months of the date on which it was paid or if the member in respect of whom it was paid has withdrawn it, the amount paid in error shall not be refunded but is deemed to have been properly paid under the provisions of this Act as service charge or for the person in respect of whom it was paid.
If any amount is due to the Trust from the person to whom refund of the amount paid in error would otherwise be made, the Board may retain the whole or any part of the amount paid in error and set it off against such amount as is due.
No refund shall be made and no amount shall be set off under subsection (2) except with consent of the Board and the Board may require the Government or any person who claims to have paid any amount to the
Trust in error to furnish information to determine the amount so paid.
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CAP. 167 12.
(Repealed).
All sums recovered or collected on account of contributions to the Trust under this Act shall be paid into or carried to the Fund in such manner as the Board may determine.
The Board shall cause to be credited to each member —
dividend at the rate declared under section 6(4) at such intervals as the Board may determine and on the amount standing to his credit in the Trust at such time as the Board may determine.
Crediting of contributions into an ordinary account 15.
Subject to subsection (3), there shall be maintained for each member in respect of the money standing to his credit in an ordinary account in the Trust.
The Board shall credit to the ordinary account specified in subsection (1) every contribution paid into the Trust for a member in such manner as the Minister may direct, and the Minister may give different directions in respect of different classes of members.
Where any contributions are paid into the Trust by any person pursuant to any regulations made under section 38(1)(e), the Minister may direct that the amount of such contribution be credited into an ordinary account.
Voluntary contributions [S 9/2024]
Notwithstanding anything in this Act but subject to such conditions as the Board may impose —
any member may, in respect of whom no contribution is required to be paid under this Act, contribute voluntarily to the Trust in such manner and at such rate as the Minister may direct;
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the Board shall credit every contribution received under paragraph (a) into an ordinary account in such manner as the Minister may direct; and
the Minister may give different directions in respect of different classes of members.
The Board may continue to receive such voluntary contributions unless and until the member notifies or indicates his intention not to continue his contributions.
PART 2A [S 9/2024]
APPROVED SCHEME
Board to maintain approved scheme 15B.
For the purposes of the Trust, the Board may maintain an approved scheme as may be established or approved by the Minister for the benefit of any person who qualifies under such scheme.
The Board shall credit any payment received under an approved scheme into an ordinary account as the Minister may direct.
Any payment paid into the Trust in accordance with the terms of an approved scheme is deemed to be contributions for the purposes of this
Act.
The Board may, on application by a member of the Trust who has participated in an approved scheme and is eligible to make a withdrawal under the terms of such scheme, authorise payment of the whole or part of an amount, together with any dividend credited thereon and in such manner, as provided under those terms.
Payment of cash grant by Government into Trust 16.
The Board may accept any cash grant made by the Government for the benefit of any person who qualifies for such grant under any scheme approved by the Minister; and the Board shall credit the cash grant into such account of that person as the Minister may direct.
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Any cash grant paid into the Trust under subsection (1) shall be disbursed in accordance with the terms and conditions of the cash grant.
Any cash grant paid into the Trust under subsection (1)
is deemed to be contributions for the purposes of this Act, but such cash grant or dividend thereon shall not be withdrawn under any regulations made under section 38 unless those regulations expressly provide for the withdrawal of such cash grant.
Notwithstanding anything in this Act, the Board shall be entitled to recover on behalf of the Government any cash grant paid into the Trust for the benefits of any person, together with any service charge which he is liable to pay the Government under the terms and conditions of the cash grant, from any money standing to the credit of that person in the Trust if that person has —
obtained the cash grant by means of any false or misleading statement or any document that is false or misleading in any particular; or
Any money recovered by the Board from any person under subsection (3) shall be refunded forthwith to the Government.
Part
Authority for withdrawals from Trust 17.
The Board may, after receiving a notification under section 19 —
return to the pensionable employee his share of contributions paid to the Trust without any dividend credited thereon; and
return to the employer the equivalent of the employer’s share of contributions remitted to the Trust in respect of the pensionable employee.
Withdrawals 20.
Upon an application for the withdrawal of the sum of money standing to the credit of a member by a person entitled thereto under section 17, the Board may authorise the payment to the applicant of such sum as the member is entitled to withdraw from the Trust and any dividend calculated in accordance with section 14(2) up to the date of the authorisation:
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Provided that when —
any contributions are due to be paid for a member in respect of any period ending not later than the last day of the month next following the date on which the withdrawal of the sum of money standing to his credit in the Trust is authorised; and
the contributions are not paid to the Trust until after the date of authorisation, those contributions may in the discretion of the Board be treated as if they had been included in the amount standing to the credit of the member at the date of authorisation of withdrawal and paid to the applicant accordingly.
All applications for withdrawal shall be supported by such evidence as may be prescribed and by such further evidence as the Board may reasonably require.
Non-withdrawal by member [S 9/2024]
Where a member who has attained the age of 55 years has not made any application for withdrawal under section 20 and continues to pay monthly contribution to the Trust, the member shall be treated as making voluntary contributions under section 15A.
Board to inform Probate Officer 21.
If the Board is satisfied that a member has died, it shall thereupon inform the Probate Officer who shall proceed forthwith to exercise his powers under section 13 of the Probate and Administration Act (Chapter 11).
Contributions not to be assigned etc. [S 10/2024]
Notwithstanding anything to the contrary contained in any other written law —
no amount standing to the credit of a member of the Trust,
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shall be assignable, transferable, attached, sequestered or levied on for, or in respect of, any debt or claim and shall not be subjected to any set-off of any nature for any debt owing by the member and if the member is adjudicated a bankrupt by a court, it shall not pass to the Official Assignee on the bankruptcy of the member and is deemed not to form part of the property of the member.
No sum of money standing to the credit of a member in his ordinary account may be withdrawn from the Trust except with the authority of the Board and, subject to any regulations and rules made under section 38(1) and (2), such authority shall not be given unless the Board is satisfied that the member —
lacks capacity in relation to a matter if at the material time he is unable to make a decision for himself in relation to the matter because of an impairment of, or a disturbance in the functioning of, the mind or brain;
is renouncing his citizenship of Brunei Darussalam or decides not to renew his Entry Permit issued under the
Immigration Act (Chapter 17) or his Entry Permit is cancelled.
Notwithstanding subsection (1), the Board may in either one or all of the following instances, on application by a member who —
has attained the age of 50 years, authorise, subject to section 18, not more than one withdrawal from the Trust a sum representing one-fourth of the amount standing to the credit of such member at the commencement of the year in which the withdrawal application is authorised;
has entered into an agreement to build or purchase a house, authorise, not more than one payment of a sum not exceeding the prescribed percentage of the purchase price of such house or the amount standing to the credit of such member, whichever is the less, to the vendor or chargee of such house or such other person as the
Board may approve;
has been allotted or has purchased or has entered into an arrangement which in the opinion of the Board is a firm arrangement to purchase or has built or has entered into an arrangement which in the opinion of the Board is a firm arrangement to build a house or has taken a loan made on the security of a charge on the house for its purchase, authorise not more than one payment of a sum not exceeding —
20 per cent of the purchase price or the cost of building such house; or
the amount of the loan outstanding as at the date of application,
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as the case may be, to be paid to the vendor or chargee, or such other person as the Board may approve:
Provided that the amount withdrawn shall not exceed 45 per cent of the amount standing to the credit of such member or the prescribed amount;
and a member in respect of whom authority for withdrawal has been given under this subsection shall notwithstanding such withdrawal continue to be treated as an employee for the purposes of this Act.
Where a member withdraws under subsection (2)(b) or (c) any amount standing to his credit in the Trust, he shall not thereafter be eligible to make any subsequent withdrawal under that subsection.
When a member withdraws under subsection (1) any amount standing to his credit in the Trust, he shall not thereafter be treated as an employee, notwithstanding that, but for this subsection, he would be an employee, for the purposes of this Act:
Provided that —
if a member withdraws under section 17(1)(c) any amount standing to this credit in the Trust and he is subsequently engaged in any further employment, he shall be treated as an employee but he shall not withdraw the further amount standing to his credit in the Trust until he has attained the age of 55 years or after a lapse of 5 years from the year of further employment, whichever is the later;
where a member of the
Trust withdraws under subsection (1)(d) and he is subsequently engaged in any employment, he may elect to pay monthly contributions to the Trust;
where a member withdraws any sum under section 17(1)(b)
or (d) thereafter, he shall thereupon cease to be a member and shall be precluded from making any further contributions.
An election referred to in subsection (4)(b) shall not be made to take effect retrospectively.
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Amount of withdrawals 18.
When authority is granted under section 17(1), withdrawal shall be made in lump sum.
Release of employer’s share of contributions 19.
The Board may, after receiving a notification in writing from any employer of a pensionable employee stating that the pensionable employee has died in service or is about to retire on the ground of attaining the retirement age applicable to the pensionable employee or on any other ground and requesting for the return of the equivalent of the employer’s share of contributions remitted to the Trust in respect of the pensionable employee by the Government or from all such employers of the pensionable employee, pay to the Consolidated Fund such amount and thereupon the amount standing to the credit of the pensionable employee in the Trust shall be the reduced amount as from the time.
Withdrawal by pensionable employees [S 9/2024]
Part
Offences 23.
Any person who —
An amount withdrawn by any member of the Trust under this Act shall be utilised for the purpose for which the withdrawal was authorised.
Where all of the amount withdrawn under this Act or any part of the amount is not utilised for the purpose for which such withdrawal was authorised, the member of the Trust shall return all the amount or the part which is not utilised to the Board within 6 months from the date of withdrawal.
For the purpose of subsection (2), “date of withdrawal” means the date of withdrawal as provided in section 20.
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Any member of the Trust who contravenes subsections (1)
and (2) is guilty of an offence.
Offences by bodies corporate etc.
Where an offence against this Act or any regulations or rules made thereunder committed by a body corporate, partnership, association or other body of persons is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of any director, manager, secretary or other similar officer of that body corporate, partnership, association or other body of persons, or any person who was purporting to act in that capacity, he as well as that body corporate, partnership, association or other body of persons is guilty of that offence and liable to be proceeded against and punished accordingly.
Penalties 26.
Any person convicted of an offence under this Act for which no penalty is provided is liable to a fine not exceeding $3,000 and in the case of a second or subsequent offence to a fine not exceeding $10,000 and the court before which the conviction is had shall in addition to the fine order him to pay the amount of any contributions together with any dividend due thereon certified by an officer appointed by the Board in that behalf to be due from that person at the date of the conviction and the amount may be recovered according to the law for the time being in force relating to the recovery of fines.
[S 9/2024; S 10/2024]
Where an employer fails to comply with any order made under subsection (1), the court shall, on the application by the Board, issue a warrant to levy the employer’s property for the whole amount of the arrears by way of distress and sale of the employer’s property.
Sanction for prosecution 27.
No court shall take cognisance of any offence under this Act or any regulations or rules made thereunder except with the sanction of the Public
Prosecutor.
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Compounding of offences 28.
The Board with the concurrence of the Minister may compound any offence punishable under this Act or any regulations or rules made thereunder by requiring the payment of any sum of money as the Board thinks fit towards such compound, being a sum not exceeding the amount of the maximum fine to which that person would have been liable if he had been convicted of the offence.
Saving for criminal proceedings 29.
The provisions of this Act or of any regulations or rules made thereunder shall be without prejudice to any other proceedings under any other written law.
Certificate of authorised officer to be evidence 30.
In any legal proceedings a copy of an entry in the accounts of the
Trust duly certified under the hand of such officer of the Board as it may authorise shall be prima facie evidence of such entry having been made and of the truth of the contents thereof.
Conduct of prosecutions 31.
Proceedings in respect of any offence under the provisions of this Act or of any regulations or rules made thereunder may be conducted by an officer authorised in writing in that behalf by the Chairman of the Board.
Civil proceedings to recover contributions 31A.
Notwithstanding the provisions of any other written law all contributions payable under this Act may, without prejudice to any other remedy, be recoverable by the Board summarily as a civil debt.
Proceedings for such summary recovery may be instituted by any person authorised in that behalf by the Board and that person may conduct such proceedings.
In subsection (1), “contributions” includes any dividend, service charge and penalty on any contribution charged by the Board under this Act or any subsidiary legislation made thereunder.
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Joint and several liability on directors etc.
Where any contributions remaining unpaid by a body corporate, partnership, association or body of persons, then, notwithstanding anything to the contrary in this Act or any other written law, the directors or former directors of such body corporate, or the partners or former partners of such partnership, or the members of such association or body of persons or the office bearers of such association or body of persons, as the case may be, during such period in which contributions were liable to be paid, shall together with the body corporate, partnership, association or body of persons liable to pay the contributions, be jointly and severally liable for the contributions due and payable to the Trust.
In this section, “contributions” includes any dividend, service charge and penalties due on any contributions, charged by the Board under this Act or any regulations or rules made thereunder.
knowingly makes any false statement; or
produces or furnishes or causes or knowingly allows to be produced or furnished any document which he knows to be false in a material particular;
fails to pay to the Trust within such period as may be prescribed any amount which he is liable under this Act to pay in respect of or on behalf of any employee in any month;
obstructs any officer or employee of the Board in the discharge of his functions as such;
fails to pay to the Board within such period as may be prescribed any amount which he is liable to pay under the provisions of this Act, is guilty of an offence.
Employee Trust
B.L.R.O. 1/2026 27
Publication of information to unauthorised person 24.
Any person employed by the Board who without lawful authority publishes or communicates to any person, otherwise than in the ordinary course of his duty or employment, any information acquired by him in the course of his duty or employment is guilty of an offence and liable on conviction to a fine not exceeding $5,000, imprisonment for a term not exceeding one year or both.
The Board may, on an application by a prospective employer who is considering whether or not to employ any person as an employee, give to the prospective employer the following particulars of that person —
the name of his employer or, if he has been in the employment of more than one employer, the name of all his employers during the past 3 years; and
the period for which contributions were paid into the Trust for that person by each of his employers.
A prospective employer who wishes to obtain any of the particulars referred to in subsection (2) shall apply to the Board in such form as the Board may determine and shall pay the prescribed fee.
The Board may require an applicant under subsection (3) to furnish proof that he is considering whether to employ the person in respect of whom the application is made.
No refund shall be made of any fee paid under subsection (3).
Amount withdrawn not to be utilised for other purpose [S 10/2024]
Part
Protection of employee’s interest in execution proceedings and sale under mortgage or charge 32.
(Repealed).
Power to exempt 33.
His Majesty the Sultan and Yang Di-Pertuan may by order exempt any person or class of persons from all or any of the provisions of this Act.
(Repealed).
(Repealed).
Transfer to Trust from private provident fund 36.
Where by virtue of his employment as an employee, any member has acquired a right to any pecuniary benefit in a provident fund or other scheme, any part or the whole of that benefit may, if the rules of that provident fund or other scheme permit, be transferred to the Trust and treated as an excess contributions paid for him under section 7(4).
Board may engage in activities not directly related to Trust and may call for information 37.
The Board may, if the Minister is satisfied that it is in the public interest to do so, engage in activities not directly related to the administration of the Trust including in particular the compilation of information of a statistical nature or otherwise relating to employers and employees and for this purpose the Board may require employers and employees to furnish such particulars as may be necessary.
Employee Trust 32
Furnishing of information [S 10/2024]
The Board or any person authorised by the Board in that behalf may by notice in writing require any person to furnish to the Board or the person so authorised, within such period as shall be specified in the notice, all such documents or information relating to such matters as may be required by the Board for the purposes of this Act and as are within the knowledge of that person or in his custody or under his control.
Any person who, on being required by notice under subsection (1) to furnish any document or information, fails to comply with any requirement of the notice is guilty of an offence.
A person who —
intentionally alters, suppresses or destroys any document which he has been required by any notice under subsection (1) to furnish; or
in furnishing any estimate, return or other information required of him under any notice under subsection (1), makes any statement which he knows to be false in any material particular, is guilty of an offence.
Preservation of secrecy [S 10/2024]
Except for the purpose of the performance of his duties or the exercise of his functions or when lawfully required to do so by any court or under the provisions of any written law, no person who is or has been a member, an officer, an employee, a consultant or an agent of the Board or a member of a committee shall disclose any information relating to the affairs of the Board or of any other person which has been obtained by him in the performance of his duties or the exercise of his functions.
Any person who contravenes subsection (1) is guilty of an offence and liable on conviction to a fine not exceeding $2,000, imprisonment for a term not exceeding 12 months or both.
Employee Trust
B.L.R.O. 1/2026 33
Recovery of sums due to Trust [S 10/2024]
Any sum due to the Trust, including any sum required by the Board or ordered by a court to be paid, repaid, refunded or transferred to any account maintained for a member of the Trust in respect of the moneys standing to the credit of the member in the Trust, may be sued for and recovered by the Board as if it were a debt due to the Government.
Power to nominate administrator nominees [S 10/2024]
A member who has attained the age of 18 years may nominate any person as an administrator nominee to receive the amount standing to his credit and due to him at his death.
A nomination may be made in favour of one person or a maximum of three persons and such nomination shall be made in such form and manner as the Board may determine.
Cessation of nominations [S 10/2024]
A nomination shall cease to have effect —
on the death of the administrator nominee or, where there is more than one administrator nominee, all the administrator nominees during the lifetime of the member; or
The cessation of nomination under subsection (1)(b) shall not be revoked by any will or by any other means.
Payment on death of member if there is nomination [S 10/2024]
Subject to subsection (2), where a member dies having nominated an administrator nominee, the Board shall pay the amount standing to the credit of the deceased member according to the directions of the nominations.
Where a
Muslim member dies having nominated an administrator nominee in accordance with this Act, the administrator nominee shall receive the amount standing to the credit of the deceased member as an executor and not solely as a beneficiary and shall distribute the amount in accordance with Hukum Syara’.
Employee Trust 34
In this section, “Hukum Syara’ ” means the laws of Islam according to the Shafi’ee, Hanafi, Maliki or Hanbali sect of Ahlis Sunnah
Waljamaah.
Payment on death of member if there is no nomination [S 10/2024]
Where a member dies without having made any nomination, the
Board shall pay any amount standing to the credit of the deceased member in accordance with section 21.
Regulations and rules 38.
The Minister may, after consultation with the Board and with the approval of His Majesty the Sultan and Yang Di-Pertuan, make regulations —
to provide for the manner of payment and collections of contributions and any matter incidental thereto, including by electronics or other means;
to provide for the disposal of amounts which are unclaimed, unpaid or otherwise remain in the Trust;
to provide for the classification of any employment, not being employment under a contract of service or apprenticeship, as an employment in respect of which contributions are payable under the provisions of this Act;
to provide that where an employee is employed in a specified employment, a person specified as the principal employer is deemed to be his employer for the purposes of this Act notwithstanding that the principal employer is not the immediate employer of the employee;
to require such person as His Majesty the Sultan and Yang
Di-Pertuan may specify who derives income from any trade, business, profession or vocation, or from any other source or sources as His Majesty the Sultan and Yang Di-Pertuan may prescribe, to contribute to the Trust in respect of such income in such a manner and at such rate as may be prescribed by His Majesty the Sultan and
Yang Di-Pertuan;
Employee Trust
B.L.R.O. 1/2026 35
to provide for member to apply, assign or withdraw all or part of the contributions and dividend standing to their credit in the
Trust for the purchase of immovable property or to repay any loan taken to finance or re-finance the purchase of immovable property including the payment of costs, fees or other incidental expenses incurred for the purchase of an immovable property or for obtaining any loan to finance or re-finance such purchase or in connection with withdrawals of any money from the Trust;
generally for giving effect to the objects and purposes of this Act and for the due administration thereof.
The Board may, in addition to the other duties imposed and powers conferred upon it under this Act, make rules —
the return of contributions under this Act, or any part of such contributions, paid in error; and
the payment of contributions under this Act, or of any part of such contributions, omitted to be paid in error;
to provide for the keeping of books, accounts or records by employers;
(ba) to provide for the registration with the Board of employers and employees;
to provide for the appointment of medical boards for the purpose of determining whether a member is physically or mentally incapacitated;
to prescribe the evidence to be produced and the person, officer or authority to whom the evidence is to be produced for the purposes of section 17;
Employee Trust 36
to prescribe the procedure to be followed when contributions are paid into the Trust;
to provide, in case where an employee is employed concurrently by two or more employers, the extent of the obligation of those employers as to payment of contributions under this Act;
to prescribe the form and period of any notice to be given by an employee to his employer under section 7;
to prescribe the procedure to be followed when any voluntary contribution is paid to the Trust;
to prescribe the returns to be made and the forms and registers to be used in the carrying out of the provisions of this Act;
(ja)
to prescribe fees;
generally for giving effect to the objects and purposes of this Act and for the due administration thereof.
Whenever —
a writ of seizure and sale has been issued in execution of a judgment against an employer and any movable or immovable property or other assets belonging to the employer has been seized or sold or otherwise realised in pursuance of the execution; and
prior to the payment of the proceeds of the sale or other realisation to an execution creditor, notice has been given to the officer charged with the execution of the writ by the Board that any sum is due to the Trust, no part of the proceeds shall be paid to an execution creditor, unless and until the court issuing the writ has ascertained and provided for the sum due to the
Trust at the date of such sale or other realisation.
Employee Trust
B.L.R.O. 1/2026 31
In the event of —
any interest in any place of employment being sold on the application of a secured creditor under any written law in force for the time being; and
the Board giving to the officer charged with the conduct of the sale notice that a sum of money is due by the debtor to the Trust, the proceeds of the sale shall not be paid to any creditor other than to the
Government or a secured creditor unless and until the court ordering the sale has ascertained and provided for the amount due to the Trust at the date of the sale or unless the court is satisfied that all sums due to the Trust have been paid up to the date of sale.
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