MADANI Transformation Policies Ensure People’s Wellbeing, Address Cost Of Living Issues

KUALA LUMPUR, Dec 19 (Bernama) -- The Unity Government introduced various initiatives throughout 2024 based on the MADANI Concept to assist the people in facing the cost of living, thus ensuring their wellbeing.

The MADANI Concept, which emphasises Sustainability, Prosperity, Innovation, Respect, Trust and Compassion, embodies the Malaysian way of combining existing practices with new approaches to address emerging issues and uncertainties.

The minimum wage and salary improvements are the government's efforts to reform the labour market and increase workers' income, said Prime Minister Datuk Seri Anwar Ibrahim during the tabling of Budget 2025 on Oct 18.

Effective Feb 1, 2025, the minimum wage will be increased from RM1,500 to RM1,700, ensuring workers receive wages that align with the rising cost of living.

The government also implemented the Progressive Wage Policy pilot project in June to improve people's quality of life. With an allocation of RM200 million, the policy is expected to benefit 50,000 workers in the country, allowing them to raise their income based on their work performance. 

Budget 2025 also allocates an increase in the cost of living for teacher trainees enrolled in the Bachelor of Education programme from RM430 to RM530. This move is seen as an effort to encourage more individuals to pursue a career in education.

The government is also committed to ensuring that disabled individuals are not left behind by providing an additional allocation of RM1.3 billion to assist this group next year.

Always prioritising the needs of the people, the MADANI Government is also upping the assistance rate for senior citizens from RM500 to RM600 per month next year while setting aside RM800 million for Early Schooling Aid and increasing the assistance for children from low-income families from RM150 to RM200 per child aged 7 to 18.

On Dec 12, the Prime Minister announced that the FLYSiswa flight ticket subsidy rate will be increased from RM300 to RM400 per person starting Jan 1, 2025.

In addition, the Unity Government has also implemented the Public Service Remuneration System (SSPA) to replace the Malaysian Remuneration System (SSM), fulfilling the long-anticipated salary adjustment for 1.6 million civil servants who have been waiting for a new salary structure for the past 12 years.

Civil servants in the implementation and the management and professional groups will enjoy a 15 per cent salary adjustment, and those in the top management group will receive a seven per cent raise under the new salary scheme. The implementation will be carried out in two phases: Dec 1, 2024, and Jan 1, 2026.

Announcing the news on Aug 16, Anwar said the SSPA was designed to introduce reforms and increase the disposable income of civil servants and as a performance-based remuneration system.   

"For those who neglect their duties, are careless, or lazy, I want to make it clear that they will not receive such treatment or rewards. If you are sluggish, lazy and careless, even if you have worked for 20 years, an increase in income will not be guaranteed," said Anwar, who is also the Finance Minister.

Anwar's firm position on this matter reflects the government's desire to ensure increased productivity in the public service while safeguarding officers' welfare.

Under the helm of the MADANI Government, Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, a key figure in Malaysia's administrative structure, has joined Anwar in steering comprehensive reforms within the public service towards inclusivity, efficiency and responsiveness to the needs of the people.

This is evident within the first 100 days of Shamsul Azri's leadership, where various reform initiatives related to integrity, efficiency, and innovation have been implemented. These efforts have transformed the administrative structure and shaped a new mindset and work culture within the public service.

The government has also introduced a significant shift in data management within the country's administration by introducing the Central Database Hub (Padu) and MyDigital ID application. 'AI untuk Rakyat' programme – an online self-learning initiative was also introduced to acquaint people with artificial intelligence.

As part of its subsidy rationalisation plan, the Unity Government introduced a subsidy reform such as terminating the subsidy for chicken and eggs, implementing a float pricing mechanism for goods, cutting electricity subsidies for high-income households and implementing targeted diesel subsidies.

This rationalisation plan has been acknowledged as crucial structural reform, reflecting the government's commitment to strengthening economic resilience and expanding the country's revenue base, which will be allocated to more essential development expenditures such as those for the education and healthcare sectors.

The government's dedication towards assisting those in the B40 group is portrayed in the increased allocation for the Rahmah Cash Aid (STR) from RM10 billion to RM13 billion in Budget 2025, which is also a measure to mitigate the impact of subsidy rationalisation and the rising cost of living.

Therefore, the government's determination and bold political resolve for the wellbeing of the people and a more sustainable future for the country should be fully supported, as these measures are not intended to burden the people. Instead, they are being reinvested through various forms of assistance, including cash transfers, to alleviate the cost of living.

-- BERNAMA