Malaysia

Civil servants salary hike to drive private sector wage reforms, says deputy minister

Ministry says move complements national wage policies.

Updated 2 years ago · Published on 17 Aug 2024 1:28PM

Civil servants salary hike to drive private sector wage reforms, says deputy minister
Deputy Human Resources Minister Datuk Seri Abdul Rahman Mohamad says salary hike will enhance national productivity and help achieve a more balanced income distribution. – The Vibes file pic, August 17, 2024.

THE salary adjustment for civil servants aligns with the Human Resources Ministry (Kesuma) initiative to strengthen and reform the private labour market, aiming for progressive wage increases that match national productivity, reported Bernama.

Deputy Human Resources Minister Datuk Seri Abdul Rahman Mohamad said the salary hike complements the national progressive wage policy, alongside the minimum wage policy and the productivity-linked wage system.

“This will enhance national productivity and help achieve a more balanced income distribution. The private sector is expected to follow suit, as over 1,000 employers have responded positively to similar initiatives,” he said.

On Friday, Prime Minister Datuk Seri Anwar Ibrahim announced a 15% salary adjustment for civil servants in the implementing, management, and professional groups, and 7% for those in top management.

The adjustment will be implemented in phases, starting from December 1, 2024 for Phase 1, and from January 1, 2026 for Phase 2. – August 17, 2024.

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