State to match Federal pay raise

BY NEVILLE TIMOTHY SANDERS & NURA V LORNA

KUCHING: Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg has announced that the state government will implement a salary increase for its civil servants to match the federal government’s recent pay hike.

He said Sarawak will increase civil servant salaries by at least 15 per cent, aiming to match or even exceed the federal pay hike.

However, he stressed that the state government’s financial capacity will be a determining factor.

“We expect improved service delivery from our civil servants in line with the salary increase,” he told a press conference after witnessing the Sarawak taekwondo team’s gold medal win at Stadium Perpaduan Petra Jaya today (Aug 16).

Abang Johari also clarified that Sarawak’s civil servants are under a Contribution-Based-Position (JBC) scheme, unlike the pension system in the federal government.

This means that state civil servants contribute to their own retirement funds.

“We are also considering maintaining medical benefits for our civil servants,” he added.

He said that state civil servants who opt to work in the private sector might lose their pension benefits.

However, those who have contributed to the Employees Provident Fund (EPF) throughout their service will continue to receive dividends.

Abang Johari explained that the private sector often offers higher salaries to experienced employees, similar to the situation in Singapore where the civil service is predominantly young.

Earlier, Prime Minister Datuk Seri Anwar Ibrahim announced a 15 per cent salary increase for federal civil servants in the implementing and professional groups, effective December 1.

Top management and professional roles will receive a seven per cent increase, implemented in two phases ending in January 2026.