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SIBU (Feb 3): Sarawak United People’s Party (SUPP) Bawang Assan Community and Development Committee chairman Kevin Lau believes that the government will make a sound decision on whether or not pension abolishment should be extended to elected representatives.
Moreover, the government has the insights of the current and future financial situation of the country in weighing the matter, he told The Borneo Post yesterday.
He opined that one of the perspectives that should be considered is the percentage or portion taken up by elected representatives in the overall pension scheme.
He argued that if the percentage does not constitute a big portion of the pension then it depends on the elected representatives’ political will to push this reform.
“Meaning, let’s say there are 222 elected representatives for parliament, including the ministers; the number of elected representatives will not change, unless there is a new constituency opened up.
“I believe that the amount for their pension will not grow significantly, whereas it could be different for the civil servants as the civil service will grow,” he said.
However, he believed that if the amount of pension paid to the elected representatives is very significant, the abolishment of their pension is justified and should be implemented.
“Up to this point, we don’t know the percentage of their pension. However, if they want the civil servants to feel that the government is fair, then there must be a political will for the abolition to apply to politicians too,” he said.
Lau was responding to Prime Minister Datuk Seri Anwar Ibrahim’s stand on whether the abolishment of pensions should be extended to politicians.
Anwar said that such proposal will first be discussed at the Cabinet level and then brought to Parliament before any decision is implemented.
Anwar also said as a moral responsibility, the matter needs to be tabled and fully explained as it was difficult to rationalise if the abolition of the pension excluded politicians.
Lau, who is also Sibu Rural District Council (SRDC) Environment and Public Health Standing Committee chairman, also feels that the government was moving in the right direction to consider abolishing the pension system for new civil servants.
“Given the country’s financial situation and also substantial amount of RM30 billion paid to pensioners up to 2022, it will only continue to increase in the future,” he said.
However, he said the government should consider special scheme for new civil servants with lower income to ensure sustainable future for them, like contributing to the Employees Provident Fund (EPF).
Meanwhile, social activist Simon Tiong said that abolishment of pension should start from politicians as they should take the lead as national leaders.
He believed this move would be more effective and efficient in respect of the nation’s expenditure and national development.
“Some YBs (elected representatives) serve three years, some five years and they get full pensions. Also, YBs are getting high pay and I also believe they receive government benefits too. So, I think they should not take the pension,” he said.
On whether or not the abolishment of pensions to civil servants should be implemented, he said it is up to the government to consider.