Thank you for that. I wouldn't know about Malaysian retirement laws and we wouldn't have access to that information. But I can tell you that under U.S. law, if the employer offers a ERISA
covered pension/retirement fund, such as an employer sponsored pension, 401K, etc., then the terms of that Plan must be specifically laid out in something called a Summary Plan Description (SPD). The law does not mandate that the employer allow an employee to receive pension benefits earlier than normal U.S. Social Security retirement age, but it does mandate that the vesting of benefits must be spelled out and when they are payable as well. In addition, traditionally, vested funds in 401K's, may be rolled over and cashed out when the employee leaves employment. If the employee is under 59 1/2, then they will usually have to pay a tax penalty for early cash out, but not for rolling it over into another self-directed retirement account.
The employer must strictly conform to the provisions set out in the SPD's of their retirement plans
. In other words, they cannot be flexible, so whatever it says about the age of eligibility for first withdrawals and for vesting is exactly what they must do.
You can find out more about pension plan issues by going to: http://www.dol.gov/ebsa
Please let me know if you have any specific follow up questions. I would be glad to assist you further if I can.