Malaysia

Govt should set up centralised social safety net: Minda-UKM

Its director Prof Tan Sri Noor Azlan Ghazali also proposes redefining ‘B40, M40, T20’ terms

Updated 4 years ago · Published on 10 Jun 2022 4:52PM

Govt should set up centralised social safety net: Minda-UKM
Minda-UKM’s director Prof Tan Sri Noor Azlan Ghazali says such a system would be more comprehensive and easier to coordinate, besides allowing targeting of eligible groups. – The Vibes file pic, June 10, 2022

BANGI – Universiti Kebangsaan Malaysia’s Malaysian Inclusivity, Development and Advancement Institute (Minda-UKM) has proposed that the government set up a centralised national social safety net system with complete information on Malaysian citizens to facilitate the application and distribution process for initiatives offered by each ministry.

Minda-UKM director Prof Tan Sri Noor Azlan Ghazali said the system, to be a one-stop centre known as “Malaysia Sejahtera”, would not only make it easier for the people to seek aid but would also serve as a distribution launching-pad for any form of initiatives to target groups.

“It is time for the government to develop such a system because this will be more comprehensive and easier to coordinate. With this system, all initiatives introduced by each ministry will be uploaded into one system.

“The system will identify the target groups eligible to enjoy the initiative. For example, if there is an assistance scheme for poultry farmers, the system will identify the group of farmers and the number in the country,” he said at a press conference in conjunction with the official birthday of the Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah here, today.

Noor Azlan said the proposal was in reference to the king’s command that the country’s leaders and civil servants continue to serve wholeheartedly to ensure the people’s socio-economic situation continues to be protected and assisted.

The economist said efforts to develop the system should begin now to enable the implementation of the king’s recommendations over the near term.

“Cooperation from members in the civil service is needed because they represent each ministry where they serve to channel information on the initiatives by their respective ministries,” he said.

On the level of personal data security in the system, Noor Azlan said the government has prioritised this with the enforcement of the Personal Data Protection Act 2010.

“The information in the system will only be used to ‘match’ government initiatives and to track the recipients on how they benefit from the assistance received,” he said.

Noor Azlan said he agrees with the statement by the Chief Secretary to the Government Tan Sri Mohd Zuki Ali yesterday about adapting to new technologies to support government organisations’ operations and functions.

To address the issue of incomes not being comparable to the nation’s average gross domestic product, he proposed that the government should have a comprehensive plan to focus on those in states which are developing less rapidly.

A mechanism for a more equitable distribution of income in different income classes also needs to be re-examined to ensure that the productivity generated by each income class is commensurate and appropriate to the current situation.

“In general, Malaysian workers’ rewards are low compared to other peer nations. Similarly, the median average income of those in this country is not the same in terms of comfort levels, between a person living in Gurun, Kedah and another in Klang, Selangor, for example.

“So the use of the terms B40, M40 and T20 need to be changed. For example, B40 to refer to ‘those living below the comfortable income’, or ‘those living below the living wage’, to explain their economic status according to districts and states, in line with the trend or local economic activities,” he said.

According to Bank Negara Malaysia’s 2018 report, if a Malaysian worker produces output worth US$1,000 (RM4,401), he will be paid US$340, while the corresponding wage received by a worker in benchmarked economies producing the same US$1,000 worth of output is higher at US$510.8.

Elaborating further, in a volatile, uncertain, complex, and ambiguous (Vuca) global environment, the government should be smart and prudent when announcing policies so that the people can understand the real situation and facilitate their implementation in a sustainable, orderly and comprehensive manner.

“As for us, the people, we must be ready to face and accept changes because nothing is permanent,” he said.

Minda-UKM was established on May 15, 2022 to help the government develop inclusive policies to benefit all members of Keluarga Malaysia. – Bernama, June 10, 2022

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