KUALA LUMPUR, Oct 11 — The Pakatan Harapan (PH) administration handed out fresh assistance and incentives to its 1.6 million-strong civil service under Budget 2020.
Finance Minister Lim Guan Eng announced a RM50 increase in living cost allowance (COLA) and also promised to pay backdated leave to civil servants with 15 years of service.
Lim said the handouts are meant not only as a token of appreciation for their dedication and hard work, but also a part of efforts to improve public sector performance.
The government has also decided to give out ex-gratia payments to the next of kin of dead civil servants, a sum of up to RM150,000.
The move will likely be seen as a bid to appease the 1.6 million-strong civil service, which, over the years, has become an influential bloc of voters.
Analysts have said that PH will need to earn their loyalty after decades of Barisan Nasional rule saw public institutions mostly turned partisan due to strong meddling from politicians.
Today, the coalition announced a RM200 monthly allowance for the Fire and Rescue Department. It also decided to give RM500 one-off handouts to Armed Forces personnel who received a medal of service.
In addition, PH said it would give special assistance worth RM500 to civil servants Grade 56 and below. For retirees, they are to receive half of it under the same programme.
Both payments are expected to be disbursed by year-end.
