Section of Leave and Retirement

Introduction

The Leave and Retirement Section is part of the structure of the Human Resource Services Division, Registrar Office, which is responsible for planning, managing and monitoring all service activities related to In-Service Verification (PDP), attendance and leave, matters of Granting Pensionable Status (PTB), Record of Service Statement (RKP) and retirement matters of all employees of Universiti Putra Malaysia which covers Serdang Campus including Bintulu Campus.

Functions of Leave and Retirement Section

Literally, this section acts in the following scope of responsibilities:

1. In-Service Leave Matters;
2. Confirmation of Service Matters;
3. Matters of Granting Pensionable Status; and
4. Retirement Affairs

 

1. MATTERS OF IN-SERVICE LEAVE

Annual Leave

Awarded according to qualifying service period only. If the service is not sufficient for a period of one (1) calendar year, then leave will be prorated according to qualifying service only.

ELIGIBILITY FOR ANNUAL LEAVE – PP 11/2015

(Annual Leave Eligibility Rate for Federal Public Service Officers from January 1, 2016)

 

Categories of Leave in Civil Establishment

 

2. MATTERS OF CONFIRMATION OF SERVICE

Terms and Conditions for Confirmation of Service

• Satisfy a safe probationary period of one (1) to three (3) years;
• Successfully attend the Induction Course and pass all prescribed service exams / Basic Teaching Course (KAP); and
• Certified by the Head of Department (Refer to the 2020 and 2023 Certification Conditions for the Academic Officer Establishment Group).

 

Who is Eligible?

• Officers appointed to permanent position; and
• Officers appointed through the Promotion by Appointment (KPSL) method.

 

Probationary Period

Officer appointed to permanent positions must go through a probationary period of one (1) to three (3) years in order for a staff to be confirmed in his/her respective services once they fulfill their confirmation requirements.

 

Cause of Matter for Not Given Confirmation in Service

• Unsatisfactory work performance;
• Disciplinary issues;
• Problems in the organization (the Head of Department has the right not to certify the confirmation in the service of an officer)

 

Extension of Probationary Period

• By fine (due to mistakes, negligence and weakness of employees) – One (1) Year.
• With no fines (not due to the employee's negligence/negligence) – One (1) Year.

 

Effects of Probationary Period Extension with Fine

• Ineligible for any annual salary movement during the extended period with penalty;
• Loss of seniority for a period equal to the extension period; and
• Change the salary movement date according to the effective date of its confirmation.

 

Consequences of Failure to Obtain Confirmation of Service

Will be decommissioned.

 

3. MATTERS OF GRANTING PENSIONABLE STATUS

Grant of Pensionable Status (PTB)

The matter of granting pensionable status (PTB) will be managed for employees who have chosen the pension scheme and have completed three (3) years of service that can be counted. PTB matters for employees who have met the conditions will be managed as follows:

• Employees who have completed three (3) years of service;
• Obtained Confirmation in Service;
• Formal letter / Information Notices will be sent through e-mail. Employees should refer to the Staff Portal for further information and action.
• Notification of cessation of EPF contributions will be notified to employees who have received PSD approval.

 

4. RETIREMENT AFFAIRS

Retirement

Retirement arrangements will be implemented every year for employees who have completed their service according to the retirement option that has been selected. This process is also managed for employees who choose to retire by self-option (early retirement / optional retirement).

 

Types of Forced Retirement

• Forced Retirement (Compulsory Pension) under Section 10 of Act 227/239
• Optional Retirement under Section 12 of Act 227/239
• Pensions issued under Section 14 of the Pensions Act 1980 (Act 227) and Section 15 of the Statutory and Local Authorities Pensions Act 1980 (Act 239)
• Retirement Due to Health (PP No. 10 of 1995)
• Retirement for Interest of Service

 

Types of Optional Retirement

Employees can apply to retire by self-option supported by the head of PTJ and must meet the following conditions:

• Age 40 years and above;
• Serving not less than 10 years that can be taken into account;
• No service contract binding; and
• Passed the screening of the Malaysian Anti-Corruption Commission (MACC).

 

Retirement Benefits

Retired civil servants are eligible to be paid retirement benefits as follows:

• Pension (monthly payment);
• Service Reward (lump sum payment); and
• Leave Compensation Cash Award, where applicable (lump sum payment).

 

Retirement benefits will be paid depending on taking service duration into account based on the final salary received by the employee. The rate calculation is as follows:

Reward: 

• 7.5% x length of service taken into account x basic salary that was finally received.

Pension:

• 1/600 x length of service taken into account x basic salary that was finally received.
• Subject to a maximum pension of three fifths (3/5) of the final salary (achieved when serving for 30 years or 360 months of service) only.

 

Referenced Circular:

1. Statutory and Local Authorities Pensions Act 1980 (Act 239);
2. Pensions Regulations 1980, General Order Chapter A;
3. Pension Law Book in Malaysia;
4. Service Circular Letter No. 1 Year 1991- Self-Chosen Retirement;
5. UPM Circular – Improvements to the Award of Cash in Compensation for Leave (GCR)

Updated:: 03/11/2023 [emy_hana]