One Step Ahead


Kelantan's "each of us has offered automatic allowance cut by 25% since 18 years ago" has put the federal government to shame.

By CHEN HUIJIAO/Translated by DOMINIC LOH/Sin Chew Daily

Let's put our hands together to thank the Kedah state government. In the depth of the economic downturn, they were the first bureaucratic system to have offered 5% pay cut to wade through the difficult waters with the rakyat.

Sure enough the magnitude of the pay cut is small, and the actual effects immaterial. But other than Kedah executive councillors, do we see any other people doing the same?

In the eyes of the rakyat, even though life is tough, they feel reassured seeing such caring government officials by their side.

In an increasingly apathetic society, officials willing to stand on the same front as the rakyat are indeed a rare commodity.

Asia went through an unprecedented financial turmoil back in 1997. During that critical period, the federal government proposed a series of "strategic fiscal policies to strengthen the national economy," which included measures such as 10% pay cut for PM, DPM, ministers and deputy ministers, 3% cut for high-ranking public servants, as well as freezing of annual increments.

Local governments echoed with delight as soon as the policy was announced. According to media estimates, if 270,000 civil servants were involved in the austerity exercise, the national coffers would have saved some RM600 million every year.

The pay cut offered a precious dose of stimulant to a society plagued by depressed investment confidence during that period of downturn.

Unfortunately, in the years that succeeded it, mainly punitive "RM10 pay cut for ministers" motion was tabled in the parliament every now and then but was instantly overruled. Instead, salaries and allowances have been increased.

The good time lasted until last July, when PM, DPM, ministers and deputy ministers agreed to accept 10% allowance cut to combat inflation.

But that generosity was insignificant by comparison with what took place ten years earlier.

Kelantan's "each of us has offered automatic allowance cut by 25% since 18 years ago" has put the federal government to shame.

February 2009, the federal government once again trailed behind. Is it going to follow the footstep of a state government this time?

If it doesn't, it'd better pray that the economy will not get any worse; or after the crisis, those who do will win the final applause of the people.



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