THE Congress of Unions of Employees in the Public and Civil Services (CUEPACS) expressed its disappointment that the unity government’s Budget 2023 lacked solutions to solve the cost of living issue that civil servants encountered.
While Prime Minister-cum-Finance Minister Datuk Seri Anwar Ibrahim harped on his administration having no intention to bring back the Goods and Services Tax (GST) as well tweaking personal income tax rates to reduce the burden on the working middle class, such move is deemed not to have significant impact on civil servants.
Instead, civil servants wanted a new remuneration system as the current one has not been reviewed since November 2002 and is not suitable for the current economic environment, according to CUEPACS president Datuk Adnan Mat.

“The extra income of up to RM1,300 through tax reduction does not reflect the real situation the people are facing,” he contended in a statement. “Salary and wage rates cannot keep up with the increasing cost of living. This includes basic needs such as food, healthcare and housing.”
Added Adnan: “The key for the country to escape this cost of living situation is to increase the salaries and wages of workers in addition to implementing measures to control the increase in the cost of living.”
Adnan further lamented that the government has failed to commit to re-evaluating the public service remuneration system to increase the income of civil servants. More so, Budget 2023 did not touch on affordable housing for civil servants.
“An affordable housing programme for civil servants needs to be introduced. The Satu Rumah Satu Anggota Programme (SASaR) for military personnel can be expanded to all civil servants,” he suggested.
“They are not asking for free housing because they are willing to pay for it but prices offered by developers are ridiculous compared with current salary rates.”
Nevertheless, CUEPACS is grateful to the government for continuing the early redemption of replacement leaves of up to 50% with a maximum of 90 days.
“The Bantuan Khas Kewangan Aidilfitri of RM700 for Grade 56 civil servants and below, including contract employees that was implemented by previous governments has also been continued by the present government,” he added. – Feb 25, 2023