Property Developer, Glomac Bhd, has urged the government to give more time for local companies to prepare for the proposed Employees Provident Fund (EFP) contributions for foreign employees and delay the implementation of the new law till 2026.

Group Managing Director and Chief Executive Officer (CEO) of Glomac, Datuk Seri FD Iskandar, acknowledged the long term benefit of the proposal, stressing that the construction sector that relies on foreign day labourers will face a major challenge in the near-term as a result of the implementation of the new EPF rule.

He added that the government's proposal to widen the EPF contribution base to include foreign workers has caused worries in various economic sectors, and therefore the business community has urged for a delay of its implementation until 2026 so that respective industries can better prepare for the change.

In the Annual General Meeting of Glomac held on Wednesday, the CEO said the authority must encourage the use of the Industrialised Building System (IBS) in the long run as a way to reduce dependency on foreign workers by offering incentives in monetary form or other perks such as plot ratio increase and speedier approval process.

"I understand that the need for foreign workers to contribute to the EPF as this will alleviate the financial burden of the government. However, the industry needs more time or early notice," he added.