©New Straits Times (Used
by permission)
By : Reports by Deborah Loh, Farrah Naz Karim, Sulaiman Jaafar, Sonia
Ramachandran, Kamachy Habimanan, Regina Lee, V. Shuman and Arnaz M. Khairul
• Cuepacs: No room for ‘old style’ work
• Closer to owning a house of his own
• Civil servants in seventh heaven
• Keep prices in check, PM urges ministry
• Commodity returns, taxes fund wage hike
• Cops in closer reach of dreams
Lowest–paid civil staff now off the poverty line
PUTRAJAYA: Civil servants, the police and the armed forces will receive a
salary increase of between 7.5 per cent and 42 per cent from July 1.
The news, announced by the prime minister at a Labour Day gathering for civil
servants yesterday, brings cheer to 1,002,040 members of the public sector, who
have been pushing for a pay rise since early this year.
A total of 557,033 pensioners will also enjoy the new increments according to
their last drawn salaries.
Datuk Seri Abdullah Ahmad Badawi also announced a 100 per cent increase in the
cost of living allowance (Cola), which will be RM300, RM200 and RM100 depending
on location.
With the increments, the government will up its spending on salaries by RM3.4
billion for the rest of this year, and an extra RM6.8 billion annually from next
year. It will also spend an extra RM600 million on increased Cola pay–outs this
year, and RM1.2 billion annually.
Abdullah reminded civil servants that their competency and motivation must
increase in line with the salary hike.
"With this increment, the rakyat and government now have higher expectations of
you."
The highest increment for civil servants is 35 per cent for members of the
Support Group 2. There are 319,336 staff in this group and they are the lowest
paid in the public sector as their minimum qualification is the Penilaian
Menengah Rendah (PMR) or Sijil Rendah Pelajaran (SRP).
With the increase, the lowest basic salary (received by Grade N1 cooks) will be
RM649.15 a month compared with RM480.85 before the increment. With fixed
allowances, the lowest total monthly income will be RM1,024.15 compared with
RM805.85 currently.
This lifts the lowest–paid civil servants off the poverty line, an issue which
Cuepacs had raised several times. The poverty line is RM691 in the peninsula,
RM888 in Sabah and RM765 in Sarawak.
Civil servants in the Support Group 1 get an increase of 25 per cent of the
basic monthly pay. Holding a minimum qualification of either the Sijil Pelajaran
Malaysia (SPM) or a diploma, they form the largest group of civil servants at
434,899 staff.
Higher ranking officers from the management and professional, and premier grade
groups get an increase of 15 per cent and 7.5 per cent respectively. There are
246,202 officers in the management and professional group, and 1,603 in the
premier grade group.
The increments are for all federal–level civil servants and will be detailed in
a circular to be issued on June 16. The Public Service Department has left it up
to state governments to decide on a similar increase for state officials and
local authorities.
Meanwhile, police and officers in the armed forces of similar rank will enjoy a
higher percentage increase compared with civil servants.
The lowest–paid ranks, such as constable and corporal, get a basic salary
increase of 42 per cent while sergeants, sergeant–majors, sub–inspectors,
inspectors and chief inspectors get an increase of 30 per cent.
Senior police personnel in the management and professional group get an 18 per
cent increase. This affects chief police officers, who usually hold the ranks of
either assistant superintendent, deputy superintendent or superintendent.
Assistant commissioners of police, senior assistant commissioners II and I also
fall under this category.
Premier grade policemen such as deputy commissioner, commissioner and deputy
inspector–general get a nine per cent increase.
In announcing the salary hike, Abdullah said the government had taken into
account factors such as economic performance, the need to reward and motivate
civil servants while recruiting competent professionals to the public sector,
the higher cost of living, and the government’s financial capability.
"Civil servants need to be motivated to increase their productivity. The
government also acknowledges the higher cost of living and is always sensitive
to the impact of rising prices, especially on the lower income groups.
"As for our financial capability, income tax collection has increased… the
government has also managed to reduce its budget deficit from 5.6 per cent in
2003 to 3.5 per cent last year."
Cuepacs: No room for ‘old style’ work
PUTRAJAYA: Civil servants are raring to buckle down and work hard in the
wake of the generous pay hike announced yesterday.
Cuepacs president Omar Osman said things would not be the
same again as civil servants had been motivated by way of better wages.
He said the public delivery system would improve as civil servants drop negative
habits which had affected their service to the people.
"I will be going on a roadshow soon to tell civil servants to do their duty and
to enhance their skills, their image and the delivery system. There is no room
for the ‘old style’ of work.
"We are making drastic changes which will result in improvements, besides
showing the government our commitment."
Omar said he was satisfied with the pay hike although the
quantum was five per cent lower than had been requested, and was only effective
from July and not January as had been asked for.
"The 35 per cent for the lowest income group is the best ever in our history.
The 100 per cent increase in cost of living allowance is exceptional.
"It was everything that we expected."
Omar thanked Prime Minister Datuk Seri Abdullah Ahmad Badawi and the government
for being sensitive to the needs of civil servants.
He said civil servants would be told to give up part–time jobs to focus 100 per
cent on their jobs.
"We don’t want them to hold second jobs any more as they will be taking home a
much larger pay packet."
He also commended the government on its move to provide an even higher increment
for policemen and soldiers as this would encourage more to join the uniformed
forces.
"While the one million civil servants have always strongly supported the
government, we will give even better support now as the government has shown it
cares for us," he said
Meanwhile, the National Union of the Teaching Profession lauded the pay rise,
saying that those in the lower– income group would benefit the most.
Its secretary–general Lok Yim Pheng said she was confident that graduate and
non–graduate teachers will benefit equally from the wage increase.
Closer to owning a house of his own
JOHOR BARU: Lance CorporalEdmand Ngalambong’s only dream for the past four
years has been to own a house.
And yesterday, the 31–year–old came closer to realising it.
Ngalambong will take home 42 per cent more in salary which will qualify him for
a bank loan to buy a house.
"I have been trying very hard to buy a house. All my loan applications have been
rejected by banks. I was really upset when the banks turned down my
applications. According to bank officers, my salary, which was about RM1,400 a
month, did not qualify me for a loan.
"With the new increment, I will be getting an extra RM630," said the father of
three.
Ngalambong, who has been in the army for 18 years, said he would save some money
for his children’s education.
"It was really unexpected. I am sure that this wage increase will help raise our
living standards."
Johor Armed Forces Veterans Affairs director Abu Samah Abdullah said his staff
were overjoyed when they heard the quantum of increase in salary.
"The pay hike is not only going to improve civil servants’ living standards, it
is also going to motivate them to do better at their jobs."
Civil servants in seventh heaven
KOTA BARU: With a 50 per cent increase in their combined take–home pay,
Azhar Mamat and Che Haliza Ibrahim had reason to smile yesterday.
The teachers, who had been worrying about saving enough money
for their children’s education, need not worry any more.
"Our worries are over as we are getting a good pay rise besides a 100 per cent
increase in the cost of living allowance."
While they did not indicate how much they would take home, they said it would be
"substantial".
"We knew the government was going to give us a pay rise but we thought it would
only be between 12 and 15 per cent. But the 7.5 per cent to 35 per cent increase
was beyond expectations. We are overjoyed.
"Please tell our prime minister and Cuepacs leaders we thank
them profusely for this," Che Haliza said.
However, she was worried traders may take advantage of the pay rise and increase
the prices of goods.
"I pray this does not happen as it will burden others, especially farmers and
those from the lower– income groups. The government should curb such price
hikes."
Meanwhile, Pengkalan Chepa prison assistant Supt Mazlan Ibrahim, 44, was
overjoyed by the news.
The father of four said the combined increase in household salary including that
of his teacher wife would be in the region of RM1,200.
"I couldn’t believe it when my friends told me about the pay hike. I am tempted
to buy things but have made a pledge to save money for my children’s education.
"We want our four children to get a university education and that will cost us a
lot of money," he said.
Keep prices in check, PM urges ministry
PUTRAJAYA: Please give meaning to the pay rise for civil servants by
preventing indiscriminate price hikes.
This is Datuk Seri Abdullah Ahmad Badawi’s call to the
Domestic Trade and Consumer Affairs Ministry in the wake of the across–the–board
wage increase for civil servants.
The prime minister said the key to keeping a lid on prices was effective
enforcement.
Announcing the better pay packet, Abdullah said higher wages would mean little
to civil servants if prices spiralled out of control.
"The ministry must beef up enforcement to prevent indiscriminate price hikes as
the increased wages would mean little to civil servants otherwise."
Domestic Trade and Consumer Affairs Minister Datuk Mohamed
Shafie Apdal said his ministry had intensified enforcement nationwide in
anticipation of the wage hike.
"We want to make sure that traders observe ceiling prices and do not increase
prices as they wish.
"We will take action against traders engaging in profiteering."
Shafie said the ministry would make public the identity of traders who continued
to take advantage by indiscriminately hiking prices.
"This will be in addition to compound notices issued to profiteers," he said
after the 2007 Labour Day celebrations for the public service here.
Shafie also urged the public to report errant traders to the ministry.
"InsyaAllah (God–willing), I will do my best and I hope that the people will
give us their support and do their part as I cannot be around to help when they
purchase overpriced roti canai, for instance."
Shafie said he had turned down numerous requests from manufacturers of essential
goods to increase prices and had only allowed the hike in the price of flour.
"No. There is no chance for them to increase prices."
Cops in closer reach of dreams
GEORGE TOWN: The extra income which Sergeant M. Veera is going to get will
come in handy for the house he has long sought.
The 48–year–old, who is based at the Air Itam police station
here, said his family had been staying at the police barracks for many years and
were beginning to crave for their own home.
"I cannot begin to tell you how much the pay rise means to me.
"I am so happy I feel like giving you a treat ... my dream of
owning a house can finally come true."
The father of three now earns RM2,300 a month and will be getting about RM3,000
under the new scheme.
"I plan to save some of it every month for my children’s education fund. "My
eldest son is in Form Six and it is going to cost me a lot of money for his
further education," he said yesterday.
Corporal Mohd Arif Omar, 46, was equally pleased with the news that his RM1,800
salary would go up to about RM2,300.
The father of five echoed Veera’s sentiments, saying he would now be able to save some money for his children’s education.
"My eldest son is now studying in college but he also works
part–time to pay for his tuition. It is tough and I am happy to get a pay rise."
The 26–year–old veteran, who is attached with the state Commercial Crime
Department, stays at the police barracks and also plans to buy a house.
‘Use the revised pensions formula’
KUALA LUMPUR: Don’t forget us. This is the plea of a group of pensioners
calling themselves the Government Pensioners Action Force.
Its spokesman S. Mylvaganam said the key to helping
pensioners lies in the implementation of the revised pensions formula approved
11 years ago.
He said yesterday the gratuity formula was implemented in 1995 but the pension
scales remained unchanged.
"We, pensioners, are not asking for anything new. We are only asking for what
was approved by the government more than 11 years ago."
Mylvaganam said RM943 million was approved by the Finance Ministry and the
cabinet for the increase in pensions but was withheld due to the economic
downturn.
He said more than 70 per cent of pensioners receive less than
RM500 a month, with some receiving between RM200 and RM300 a month.
Citing the example of a clerk’s salary of RM1,000, Mylvaganam said the 25 per
cent pay increase will bring the clerk’s salary to RM1,250.
Whereas for a pensioner who receives a RM1,000 pension, the increase would only
be RM125 (12.5 per cent increase), said Mylvaganam.
"This is unfair as the pension is already half the salary. When you give a 25
per cent increase for the subordinate group civil servants, the pensioners
should also get the same."
The gratuity formula — 7.5 per cent x last–drawn salary x number of months of
service (full service) — was implemented with effect from Jan 1, 1995.
However, the pensions formula — 1/600 x last–drawn salary x number of months of
service (full service) — has not been implemented until today.