SANDAKAN – Sabah Umno information chief Datuk Suhaimi Nasir supports the proposed abolition of the pension scheme for the new intake of civil servants, starting with the elected representatives.
Suhaimi said that Umno Youth had previously proposed abolishing the pension scheme, and the idea has been well-received by various parties, including himself.
“It is unfair to civil servants, who have to work for an average of 30 years before becoming eligible for their retirement benefits.
“In contrast, people’s representatives, who only serve for five years, are eligible to receive pensions,” he said in a statement today.
He suggested that the government reassess the pensions provided to representatives, especially given the current financial constraints the government is facing.
“We understand the financial pressures faced by the government. If the government intends to discontinue this pension scheme, it should be applied uniformly to all politically appointed personnel.
“The government’s decision now is biased. Therefore, we urge the government to review this matter,” he stressed.
The Libaran MP also expressed support for Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi’s statement recently regarding the abolishment of pension schemes for newly employed permanent civil servants.
“I strongly agree that the new intake of civil servants should contribute to the Employees’ Provident Fund (EPF), and the government should be the contributor, like what is being done in the private sector system.
With the existing retirement system, the government has to bear a cost of up to RM120 billion by 2040 just for pension payments.
He said while abolishing pension schemes for new government staff would reduce the government’s financial burden, the abolishment should also apply to people’s representatives. – January 26, 2024
