Pay rise for civil servants.

PUTRAJAYA: Civil servants are to receive salary increases of between 7% and 13% under an improved Malaysian Remuneration System.

This follows the scrapping of the controversial Public Service New Remuneration Scheme (SBPA), which had come under criticism from government employees.

Datuk Seri Najib Tun Razak announced the improved Malaysian Remuneration System (SSM) to applause from more than 10,000 civil servants at the Putrajaya International Convention Centre.

“I hope that this would be the best solution for the benefit of the civil service,” he said.

The Prime Minister said employees in the management and professional group from grades 1 to 54 would get an adjustment of 13%. They form the bulk of the 1.4 million civil servants.

“The SSM salary structure will be adapted from the Matrix Salary Schedule to the Minimum-Maximum Salary Schedule for Grades 1 to 54.

“The rate of the annual increment for this group is fixed between RM80 and RM320 according to grade.”

Najib said that employees on the Superscale (JUSA Jawatan Utama Sektor Awam) and Special Grades A, B and C would have their salaries adjusted by 9%.

Salaries of Staff Grade II and III officers would be adjusted by 8%.

Salaries of Staff Grade I officers and the Chief Secretary to the Government would be adjusted by 7%.

Lower-ranking civil servants had objected to SBPA after it was found to benefit mostly the top officials.

Under SBPA, the Chief Secretary to the Government would receive RM60,000 and Staff Grade officers about RM36,000 a month.

In contrast, some in the lower grades would get an increase of as little as RM1.70.

SBPA was to have been implemented on Jan 1, but Najib on Jan 12 ordered it postponed and three days later announced the setting up of a task force to review the scheme.

The task force, headed by former Public Service Department director-general Tan Sri Ismail Adam, was given three months to get feedback and to come up with recommendations to the government.

It received 1,087 complaints besides several memorandums while 23 unions and associations submitted proposals. They include Cuepacs, the National Union of the Teaching Profession, Malaysian Medical Association and the Malaysian Academic Association.

The Prime Minister also announced that the Cost of Living Allowance (Cola) would be increased from RM200 to RM250 for the B (semi-urban) area, and from RM100 to RM150 for the C (rural) area.

The Cola for the A or urban area is now RM300.

Najib said the Critical Service Incentive Payment, Regional Incentive Payment, Interior Incentive Payment and the Educational Subject Incentive Payment would be maintained.

Najib said that a commission comprising relevant interest groups would be set up to make a comprehensive study concerned not only with remuneration but also the type of civil service required in the future.

“Remember that whatever we do today will have a long-term impact. The Government does not want Malaysia to face a financial catastrophe like Greece,” Najib said.