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A humble take on the new Public Service Remuneration System

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From Aidalina Mahili

Growing up in a household where both my parents were civil servants, I witnessed firsthand the realities of a working-class family in Malaysia.

I remember the excitement when a salary hike was announced in 2012.

For my parents, this modest but long-awaited increase felt like a lifeline, opening up new opportunities to improve our home, support educational pursuits, and enjoy some well-deserved leisure.

Even a small income boost can transform hope into real achievements and strengthen a household like ours.

Thus, when Prime Minister Anwar Ibrahim recently announced a new salary hike, I saw the same joy and hope in many faces.

For families like mine, this was more than just a financial adjustment; it was recognition of their hard work and dedication.

A historic announcement

Following in my parents footsteps as a civil servant, I had the opportunity to witness Anwars historic speech at the 19th Civil Service Premier Assembly (Mappa 2024) on Aug 16 a key address by the prime minister for the civil service.

His speech, which acknowledged past achievements while outlining future goals, emphasised the essential role of public service in advancing Malaysias development agenda.

A key highlight was the announcement of the Public Service Remuneration System (SSPA). Anwar revealed plans to review and reform the remuneration, promotion (and demotion), and overall reward structures for public servants.

I felt heartened when he recognised that the countrys achievements in areas such as economic growth and global peace were due to the dedication of its civil servants.

Madani Economy and public service reform

By framing his discussion within the context of his people-centric economic framework known as the Madani Economy, Anwar underscored that empowering the rakyat is central to his administrations goals.

This acknowledgment lays the foundation for understanding the proposed changes to the SSPA, highlighting the governments recognition of the vital role that public servants play in nation-building.

The last salary revision for civil servants was 12 years ago, during a period of significant economic change and political transition in Malaysia.

This long gap has been a point of contention, leading to growing dissatisfaction among civil servants who have endured inflationary pressures while watching private sector salaries advance.

A new work culture of efficiency and accountability

A major focus of his address was the call for a new work culture among public servants, emphasising that any increase in remuneration would be tied to improved efficiency and productivity.

This approach ensures that public servants earn their keep while aligning financial incentives with the governments broader goals of enhancing service delivery.

By linking remuneration to performance, the government aims to foster a culture of excellence within the public service, leading to faster processing times, better policy implementation, and a more efficient government.

For the public, this means better access to services, reduced bureaucratic delays, and a more responsive government.

In the long run, these improvements could enhance public trust in government institutions, which is essential for political stability and economic growth.

Addressing tough issues, corruption and reform

Anwars legacy has long been associated with his fight against corruption and his government is now making a bold push for reform and accountability.

This would be incomplete without confronting corruption and inefficiency within the public service.

By introducing a performance-based remuneration system, the government hopes to encourage integrity and support positive practices among public servants.

Anwars commitment to not rewarding those who are negligent or corrupt sends a strong message that the government is serious about reform.

This could result in a more transparent public service, which is key for attracting foreign investment, improving international relations, and using public funds effectively.

Revamping the SSPA: economic growth and social equity

Reviewing the SSPA is crucial for economic growth, as better-compensated public servants would boost domestic consumption and contribute to the overall economic development.

This not only strengthens the effectiveness of government policies but also helps retain top talent in the public sector, ensuring long-term progress and stability.

The SSPA review also promotes social equity by rewarding genuine contributors to public service and addressing complacency.

By improving pay for lower-tier workers, the government seeks to reduce income inequality and enhance quality of life, aligning with the Madani Economy frameworks broader goals of poverty alleviation and social justice.

Addressing the SSPA presents several challenges, including managing the financial impact of pay increases, addressing potential resistance to a performance-based system, and ensuring fairness and transparency in evaluations.

Practical support and training will be key to helping employees meet new expectations and adapt to changes, ensuring that the benefits of the overhaul are felt across all levels of the public service.

Better civil service, better nation

Revamping the SSPA is about more than just helping public servants; its also about improving the governments efficiency.

When public servants are motivated and fairly paid, they can perform their duties more effectively, supporting the governments larger goals.

Better governance also enhances Malaysias global reputation, which can attract more investments and build stronger international relationships.

Additionally, a revamped pay system could serve as a model for other sectors.

If successful, performance-based pay and accountability could be applied more broadly, potentially improving productivity and efficiency throughout Malaysias economy.

Anwars speech at Mappa 2024 highlighted a key turning point in Malaysias public service reform.

This reform promises to enhance productivity, improve service delivery, and create a more efficient government.

Despite the challenges, this commitment signals a major step towards a fairer and more prosperous Malaysia.

 

Aidalina Mahili is a civil servant and an FMT reader.

The views expressed are those of the writer and do not necessarily reflect those of FMT.


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