Pay Rise For Malaysian Government Servants


Hurray! Malaysia’s Government servants will be getting a confirmed pay rise, as announced by none other than PM Datuk Seri Abdullah Ahmad Badawi himself!

On the national and public interest side, some of the lowest paid workers will be getting a sorely needed raise. Police and armed forces will get an additional 20% raise on top of the pay rise, which should bolster their morale and numbers we all hope!

Meanwhile, on the personal interest side… My Anne will be getting more pay soon! 😉

Details of the highlights:

– Pay increase from between 7.5% to 35%
– Pay rise effective from July 2007
– Cost of living allowance doubled to between RM100 to RM300
– Support staff II get 35% increase in their basic pay, support staff I 25%, middle management and professional 15%, top management 7.5%
– Retirees will get 35% pay rise (but see below on how they feel it’s unsatisfactory)
– Badawi makes people happy before General Elections :p

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From The Star 22 May 2007:

Over 1 million government employees to benefit, Cola doubled

PUTRAJAYA: There were cheers and applause as Datuk Seri Abdullah Ahmad Badawi announced a pay increase of between 7.5% and 35% for the country’s one million plus government employees yesterday. 

The announcement, made in front of some 3,000 officers and staff who gathered for the Public Sector Workers Day celebration at the Putrajaya International Convention Centre, was carried live on RTM 1. 

The Prime Minister said the cost of living allowance (Cola) would double to between RM100 and RM300, while police and armed forces personnel would receive a further 20% on top of the pay rise (or an increase of between 9% and 42%). 

Those grouped in the lowest grade or support staff II (with SRP or Year Six qualifications) would see a 35% increase in their basic pay, followed by support staff I (25%), middle management and professional (15%) and top management 7.5%. 

This means the post with the lowest pay – that of a cook – will carry a basic salary of RM649.15 per month, up from RM480.85. With fixed incentive payments, this person will be getting about RM1,024 a month. 

Apart from in-service staff, the country’s 557,033 retirees would also benefit from the pay hike. 

“The salary and Cola increases will take effect from July this year,” Abdullah said adding that the increase would lessen the burden of those in the lower rung. 

The last salary revision for civil servants was carried out in 2002. 

The salary and Cola increases would cost the Government an additional RM6.8bil and RM1.2bil annually respectively.  

Abdullah called on civil servants to stay clear of corruption, reduce bureaucracy and work harder to further improve the public delivery system, service and productivity. 

In deciding on the salary increases, he said, the government had considered several factors like the changing trends, the average growth rate of the Gross Domestic Product (5.6%), the effect of fuel prices on lower income groups, trade volume that had reached RM1tril, the low level of inflation, unemployment and interest rates and the positive trends at Bursa Malaysia. 

“Tax collection and cost-efficiency have increased considerably, while trade deficit had been reduced from 5.3% in 2003 to 3.5% last year,” he said.  

Abdullah warned traders not to take advantage of the pay increase and increase prices of goods and services.  

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See people’s responses:

Police and army glad, we hope they’ll do a good job

Pensioners feel they deserve 100% increase

Nik Aziz says pay rise is just a pre-Election ploy

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