GEORGE TOWN, Feb 19 – The civil servants’ salary scale needs to be reviewed as it has been stagnant for the past 20 years, said the Congress of Unions of Employees in the Public and Civil Services (Cuepacs).
Cuepacs president Datuk Omar Osman said it is high time that the salary scale, maximum pay for civil servants along with the housing loan interest rate for civil servants are reviewed to fit with current times.
“The recently proposed two to five per cent increment of the maximum pay for the 1.4 million civil servants in the country is not enough,” he said.
He said such a low percentage will not make much of a difference, particularly to those in the lower salary scale.
“For a civil servant earning RM2,000, the two to five per cent increment will only translate to about RM100 if the increment is five per cent which is not much,” he said.
He said the increment should be between five and eight per cent for a higher maximum pay.
Earlier today, Chief Secretary to the Government Datuk Seri Dr Ali Hamsa announced that civil servants who have hit their maximum salary scale will receive the five per cent increment this year.
He had said about 30,000 civil servants have reached their maximum pay in their current positions with no room for pay rise without a promotion.
Omar said this is not enough especially when the level of efficiency in the civil service has improved but the civil servants were not remunerated accordingly.
“The government should seriously consider increasing incentives, allowances and benefits for civil servants based on the commendations in their services,” he told a press conference here after attending an emergency rescue operations training programme at the Bayan Baru Fire and Rescue Station here.
He said by increasing the incentives, benefits and salary scale of the civil servants, it will improve the quality of the civil service and motivate them to perform even better.
“The salaries and allowances of those in high risk jobs such as the fire and rescue personnel, the police and the army should also be increased due to the dangerous nature of their duties,” he said.
On the civil servants’ housing loan interest rate, he said it is high time that the rate be lowered from four per cent to one per cent due to the inflated prices of houses of current times.
“The four per cent interest rate for civil servants is a burden to civil servants so it is time that it is reduced to only one per cent,” he said.
He added that this should also be applied on the PR1MA housing scheme where the lowest priced unit is RM150,000.
“The four per cent interest rate is only relevant 20 years ago when property prices were low but now it is different as a civil servant earning RM2,000 will not even be able to afford a PR1MA housing due to the interest rate,” he said.
He said the housing loan schemes for civil servants should continue to be managed by the National Treasury instead of being relegated to the banks which may cause confusion, uncertainties and changes that affects the civil servants’ chances in buying their own homes.