24 October 2023

MALAYSIA: Union hits back over pension claim

Start the conversation
Former Malaysian Minister for Health, Khairy Jamaluddin

Former Malaysian Minister for Health, Khairy Jamaluddin

Malaysia’s major Public Service union says it will fight any plan to abolish or reduce pensions for new bureaucrats, calling the proposal “absurd”.

The Congress of Unions of Employees in the Public and Civil Services (Cuepacs) was reacting to comments made by former Minister for Health Khairy Jamaluddin, who said the existing pension schemes were too generous.

“If we do not recognise it (pensions) as a ticking time bomb which, if we do not do anything, will squeeze the space for the government to build more schools, hospitals, clinics and others, then I think we are in a denial syndrome,” Mr Khairy said.

“The government forked out about RM30 billion ($A10 billion) for pensions in 2022, which made up nearly 10 per cent of the annual Budget.”

READ ALSO INDONESIA: New law ‘to transform PS recruiting’

President of Cuepacs, Adnan Mat said pensions were a form of recognition for the services of Public Servants and their contributions over the years.

“It is not a burden on the government. Many retired civil servants receive only small monthly payouts despite long years of service,” Mr Adnan said.

“Instead of targeting civil servants, the government should abolish pensions for MPs as a cost-saving measure. Cuepacs stands against any reduction in the privileges enjoyed by civil servants.”

Political analyst, Amirul Syazwan Hamzah said the debate surrounding the abolition or retention of pensions for politicians and Public Servants was complex and multifaceted.

READ ALSO KENYA: Public service head slams misuse of public funds, unjustified travel

While declining to comment on pensions for politicians, he said pensions for Public Servants should be retained.

“A pension scheme ensures adequate compensation in retirement; attracts skilled individuals to the bureaucracy and preserves trust in government institutions,” Mr Amirul said.

“Healthcare professionals, armed forces personnel, teachers and many others often work long hours, navigate complex challenges and shoulder the weight of immense responsibilities.”

– Kuala Lumpur, 7 October 2023

Start the conversation

Be among the first to get all the Public Sector and Defence news and views that matter.

Subscribe now and receive the latest news, delivered free to your inbox.

By submitting your email address you are agreeing to Region Group's terms and conditions and privacy policy.