Thursday, July 30, 2020

MPs pension still entitlement after 50 years?(not current Malaysian retirement age). Abolish Gratuity? Limit pensions and derivative pensions?

PENSIONS/GRATUITY - How much of the peoples' money is continued to be paid out to MP and Ministers, who have been rejected or voted out by the people? Probably it is millions (or maybe billions) of Ringgit every month/year?

Is it time to STOP this? Is it time to Review this? Sadly, many MPs will easily vote for increase of salary, allowances and other benefits that they will personally receive, including when after they lose their positions.

Our concern now is the PENSIONS and the Gratuity? We may also look at the other allowances and benefits that our elected representatives and members of the Cabinet receives today? When the Malaysian Minimum wage is just RM1,100 or RM1,200, and there are many today who are having problems with jobs and income, it is simply absurd that so much of the peoples' money goes to our elected and/or appointed representatives.

In Malaysia today, many of our elected representatives are not even full-time elected representatives. The continue earning income from their businesses, professions and/or other jobs - do they really deserve pensions or gratuities when most Malaysians(including workers) even today do not enjoy any PENSION - a very much needed right to help people survive when they can no longer worker, and in their old age. Pension rights to be available to every one, not just government employees as is the case in Malaysia today.

The law that determines salaries of MPs, Senators, PM and Members of the Parliament is the Members of Parliament (Remuneration) Act 1980. Section 2 of the First Schedule of the Act states, amongst others, - '(1) A person who ceases to be a Member may be granted a pension if he has completed 36 months of reckonable service.' Reckonable service, simply means how many months he/she has been an MP/Senator.

How much PENSION?

(2) The monthly pension payable under subparagraph (1) shall be calculated on the following formula:

1/144 x period of reckonable service x salary, subject to a maximum of three-fifths of salary:...

If the person has been an MP for 4 years - then this is 48 months of reckonable service

1/144 X 48 X Salary(RM16,000 now for an MP) = RM5,333

If the person has been an MP for 10 years, then reckonable service would be 120 months..

1/144 X 120 X (RM16,000) = RM13,333

However, there is a maximum limit of 3/5ths the salary, which would be for an MP - RM9,600. But so much more if that person had been a Prime Minister, Minister, Cabinet Member or Speaker

Note, even if one is an MP has only served for less than 36 months, it would be deemed that he/she will receive the minimum as if he/she had served for 36 months, which is RM4,000.

If he has been a Prime Minister, Minister, Speaker, Deputy Speaker, then the salary would be higher and the pension will higher.

Are the members of the Cabinet getting their salary PLUS the RM16,000 allowance for being an MP? Is this even justified, when really they should not be paid both...But then the law states,

(b) Where a Member of the Administration is a member of the House of Representatives, he shall be entitled, in addition to the salary specified in subsection (1), to the monthly allowance payable to him as a member of the House of Representatives as specified in paragraph (b) of subsection (1) of section 3.(Section 6(2)(b))

Does that mean, the maximum monthly pension for a Prime Minister, also an MP, is about RM23,295?

So, how many ex-MPs, ex-Senators, ex-Ministers, Ex-Speakers are we, the people of Malaysia, are paying for pensions every month - How much of a drain in our national funds is that?

A former Prime Minister, who then continues as an MP - will still receive a PM's pension - even if he is PM for a few days?

Recent income and asset disclosures demonstrate that many of these 'peoples' representative' also have a lot of assets - in the millions of ringgit? Is it justified to pay them still pensions until they die.

WHEN WILL THEY START RECEIVING PENSIONS? 50 years - not after reaching normal retirement age of 60?

If they are still MPs, then they will only receive pensions when they stop being MPs - you cannot receive salary as an MP/Minister/Speaker/Senator and still receive pensions.

Pensions really should be payable after they reach RETIREMENT AGE - but for these former MPs/Senators, etc, it seems like they start getting pensions after reaching 50 years - This is not right - they should only be paid pensions, after they reach the ordinary retirement age of 60.

(1) A person who ceases to be a Member may be granted a pension if he has completed 36 months of reckonable service.

Provided that where a person who becomes a Member for the first time on or after 1 July 1990 ceases to be a Member upon completing thirty six months of reckonable service but has not attained the age of fifty years on the date he ceases to be a Member, he may be granted a pension only upon his thereafter attaining the age of fifty years. ...(First Schedule, Section 2(1))

So, all these former MPs, Senators, Ministers start getting pension once they reach 50 - Did the government fail to amend, entitlement of pension to after they attain the current retirement age that applies for everyone, which is 60, I believe?

MORE than pension, they also get gratuity - too much?

1/48 x salary x 12 x period of reckonable service

Even when a former MP/Minister/Speaker dies - the pension payment continues at the same amount to the spouse and children, if no spouse and children, it goes to the next of kin.

'...his dependants may be granted a derivative pension of the same amount as the pension which was paid or payable to him...'

For children, it goes on until they become 21 or get married, but for the spouse or some other next of kin, it seems to go on until they die.

Normal public servant pensions - when they die, the spouse gets it generally until she dies but at a much reduced rate. I do not think there is any provision for next of kin.

If the ex-MP, marries within 20 years of death, then the widow/widower receives the pension for another 20 years only after the death.

HOW MUCH OF PUBLIC MONEY(Wang Rakyat) is being spend this way?

Hence, when Prime Minister Muhyiddin has a very BIG Cabinet, all these Cabinet members receive not simply HIGHER salary(and allowances) but also become entitled to higher gratuity and pensions for themselves until they die, and their spouses, children and next of kin.

Maybe a similar scheme exists for the State Legislative Assembly - so, Muhyiddin, who was a previous Menteri Besar of Johor, and may be no more ADUN - may also now be receiving pensions, PLUS salary/allowances as PM ---Is this just?

There are so many Malaysians that are poor and struggling, but looking at this pension/gratuity payments, which may monthly cost millions of ringgit, if not billions, I say we need serious reforms - just too much are being paid to some of these people, who may have been rejected by the people through elections.

What do you say? This money could be better spend to help the poor live decent lives.

Besides salary and allowances for these many not full-time MPs/Senators, political appointments as Directors of government owned or GLCs may also be making them too rich? This Directorship income will be discussed later.


* My opinion only after looking at the law..better verify yourself.



PM Muhyiddin tops MACC list with RM93,000 monthly income, 10 other govt officials have assets over RM10m


Prime Minister Tan Sri Muhyiddin Yasin had on June 15 declared his monthly income to be RM93,841.65 and his total assets to be worth more than RM10 million. — Picture by Miera Zulyana
Prime Minister Tan Sri Muhyiddin Yasin had on June 15 declared his monthly income to be RM93,841.65 and his total assets to be worth more than RM10 million. — Picture by Miera Zulyana

KUALA LUMPUR, July 22 — With his public declaration of getting RM93,000 every month, Prime Minister Tan Sri Muhyiddin Yassin earns the highest income in the Perikatan Nasional (PN) government.

A list of assets owned by 57 of the country’s top officials who have declared the Malaysian Anti-Corruption Commission (MACC) is now publicly accessible on this portal as part of a move towards greater government transparency. However, this list does not include all 70 government officials.
Muhyiddin had on June 15 declared his monthly income to be RM93,841.65 and his total assets to be worth more than RM10 million.

10 other officials with assets exceeding RM10 million

The list also names 10 others in PN as having declared their assets to be worth more than RM10 million to the MACC.

They are:
1. Federal Territories Minister Tan Sri Annuar Musa
2. Deputy Tourism, Arts and Culture Minister Datuk Jeffrey Kitingan
3. Deputy Science, Technology and Innovation Minister Ahmad Amzad Mohamed @ Hashim
4. Finance Minister Tengku Datuk Seri Zafrul Zainal Abidin
5. Minister in the Prime Minister’s Department Datuk Seri Maximus Johnity Ongkili
6. Deputy Foreign Affairs Minister Datuk Kamarudin Jaafar
7. Deputy Education Minister II Datuk Dr Mah Hang Soon
8. Deputy Federal Territories Minister Datuk Seri Edmund Santhara Kumar
9. Deputy Minister in the Prime Minister’s Department Datuk Hanifah Hajar Taib
10. Deputy International Trade and Industry Minister Datuk Lim Ban Hong

However, they are not necessarily the ones with the highest monthly income that has been declared.

The MACC portal does not put the exact amount when it comes to the assets held by the members of the PN government.

Instead of listing the exact amount, MACC gave a range of values for the assets declared by each of the 57 members of the PN administration.

The other brackets of asset values listed by the MACC and the government officials in them are as follows.

With assets worth RM8.5 million to RM10 million:
1. Minister in the Prime Minister’s Department Datuk Seri Mohd Redzuan Md Yusof
2. Minister of Science, Technology and Innovation Khairy Jamaluddin

With assets worth RM5 million to RM8.5 million (eight individuals); RM2.5 million to RM5 million (12 individuals); RM1 million to RM2.5 million (16 individuals including Datuk Shahruddin Md Salleh who has since quit as deputy works minister); and those with less than RM1 million (eight individuals).

The eight individuals with less than RM1 million in declared assets are Minister in the Prime Minister’s Department Datuk Takiyuddin Hassan; Environment and Water Minister Datuk Tuan Ibrahim Tuan Man; Deputy Finance Minister II Mohd Shahar Abdullah; Deputy Home Minister I Jonathan Yasin; Deputy Minister in the Prime Minister’s Department Arthur Joseph Kurup; Deputy Human Resources Minister Awang Hashim; Women, Family and Community Development Minister Datuk Seri Rina Harun; and Deputy Rural Development Minister II Datuk Henry Sum Agong.

The previous version of the MACC portal that was first unveiled on November 1, 2018 initially only listed the total income for members of the administration and MPs from the ruling coalition, but did not include information on the value of their declared assets. The previous version of the portal had subsequently the same month included the exact value of the total assets declared by members of the then Pakatan Harapan administration and MPs from the ruling coalition.

The new version of the portal contains additional information such as the post of the individuals in the government.

Unlike the older version, the new version omits information on whether the spouse and children of the government official in question had also made declarations to the MACC.

Top 10 earners in PN government

Other than Muhyiddin, the top 10 monthly income earners are:

1. Annuar at RM87,877.20
2. Kitingan (RM85,450)
3. Home Minister Datuk Seri Hamzah Zainudin (RM84,615.20)
4. Minister in the Prime Minister’s Department Datuk Seri Mustapa Mohamed (RM69,427.20)
5. Senior Minister and Minister of International Trade and Industry Datuk Seri Mohamed Azmin Ali (RM69,186.48)
6. Redzuan (RM65,407.20)
7. Transport Minister Datuk Seri Wee Ka Siong (RM65,236.48)
8. National Unity Minister Datuk Halimah Mohamed Sadique (RM64,527.20)
9. Ahmad Amzad (RM64,087.41)

The top 11th to 20th earners in terms of declared monthly income are:

Minister in the Prime Minister’s Department Datuk Takiyuddin Hassan (RM62,412.13), Tengku Zafrul (RM62,077.20), Khairy (RM61,188.22), Agriculture and Food Industry Minister Datuk Seri Ronald Kiandee (RM59,972.43), Shahruddin (RM59,524.27), Ongkili (RM59,500.20), Deputy Minister of Energy and Natural Resources Ali Biju (RM58,762.89), Deputy Domestic Trade and Consumer Affairs Minister Datuk Rosol Wahid (RM57,322.89), Environment and Water Minister Datuk Tuan Ibrahim Tuan Man (RM57,227.20) and Deputy Higher Education Minister Datuk Mansor Othman (RM56,347.65). If Shahruddin is excluded from the list since he has quit as deputy works minister, Rural Development Minister Datuk Abd Latiff Ahmad will be the 20th highest monthly earner at RM55,147.35.

As for the 10 who have the lowest declared monthly income in the list as of the time of writing, they are Deputy Transport Minister Hasbi Habibollah (RM36,262.89), Deputy Agriculture and Food Industry Minister Datuk Seri Ahmad Hamzah (RM36,262.80), Deputy Minister in the Prime Minister’s Department Datin Mastura Mohd Yazid (RM35,847.65), Deputy Minister Lim Ban Hong (RM34,347.65), Senior Minister and Education Minister Mohd Radzi Md Jidin (RM34,242.00), Rina (RM34,004.48), Deputy Plantation Industries and Commodities Minister I Willie Mongin (RM33,450), Deputy Entrepreneur Development and Cooperatives Minister Datuk Mas Ermieyati Samsudin (RM 25,700), Datuk Henry Sum Agong (RM25,700) and finally Youth and Sports Minister Datuk Seri Reezal Merican Naina Merican at RM24,687.

Those yet to declare their assets

The MACC said that it has to date received and displayed the information on assets declared by 57 out of the 70 members of the PN administration. If Shahruddin is excluded, 56 have made their declarations to the MACC.

Based on the MACC’s definition of members of the administration covering the prime minister, senior ministers, ministers and deputy ministers, there are currently 14 of them who have yet to submit their monthly income and total assets declarations to the MACC.

Based on Malay Mail’s comparison of the MACC portal and the current list of ministers and deputy ministers, five of the 32 PN ministers are not currently listed as having declared their assets to the MACC for the public portal.

These five ministers are:
  1. Human Resources Minister Datuk Seri M. Saravanan
  2. Energy and Natural Resources Minister Datuk Shamsul Anuar Nasarah
  3. Health Minister Datuk Seri Dr Adham Baba
  4. Domestic Trade and Consumer Affairs Minister Datuk Alexander Nanta Linggi
  5. Plantation Industries and Commodities Minister Datuk Mohd Khairuddin Aman Razali
Of the 38 deputy ministers, nine not on the MACC list are:
  1. Deputy Defence Minister Datuk Seri Ikmal Hisham Abdul Aziz
  2. Deputy Home Minister I Datuk Seri Ismail Mohamed Said
  3. Deputy Works Minister Datuk Shabudin Yahaya
  4. Deputy Rural Development Minister I Datuk Seri Abdul Rahman Mohamad
  5. Deputy Housing and Local Government Minister Datuk Seri Ismail Abd Muttalib
  6. Deputy Communications and Multimedia Minister Datuk Zahidi Zainul Abidin
  7. Deputy Youth and Sports Minister Wan Ahmad Fayhsal Wan Ahmad Kamal
  8. Deputy Environment and Water Minister Datuk Ahmad Masrizal Muhammad
  9. Deputy National Unity Minister Datuk Seri Ti Lian Ker
* A previous version of this story contained errors which have since been corrected - Malay Mail, 22/7/2020

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