KUALA LUMPUR, March 5 – The government has assured that the new civil service remuneration scheme being drafted will not result in any loss to newly appointed civil servants.
Minister in the Prime Minister’s Department (Federal Territories) Dr Zaliha Mustafa said the proposed new system would certainly attract the most qualified in the country to serve in the civil service.
“In this regard, the need for amendments to all relevant legal provisions for the purpose of the new permanent appointment method for civil servants is being carefully considered,” she said in a written answer posted on the official Parliament website.
She was replying to a question by Tan Sri Muhyiddin Yassin (PN-Pagoh) who wanted to know if the government had carried out a comprehensive due diligence study on the proposal to abolish pension for civil servants and the implications involved.
In January, media reported that the Public Service Department (PSD), in a statement, said the appointment of civil servants through contract basis was an interim measure towards the implementation of a new method for the permanent appointment of civil servants, which will involve amendments to relevant acts.
Dr Zaliha said the government had decided to review the remuneration system to optimise the intake of civil servants to fill positions in the civil service.
“This review cannot be delayed any longer, considering that in 2023, pension expenditures amounted to RM32.01 billion and are expected to reach RM46.36 billion by 2030. The average projected increase in pension payments is nearly RM2 billion per year,” she said.
However, the existing pension scheme for serving employees and retirees from the civil service remains in place.
