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No increase in armed forces pensions, says Defence Ministry

PARLIAMENT | The government has no plans to introduce a pension adjustment for Armed Forces pensioners, as the move involves other civil servants and huge financial implications.

Defence Minister Hishammuddin Hussein said at present the government had introduced several other incentives, such as the Bakti Negara Assistance, Veterans Annuity Scheme, increments in Veterans Disabled Scheme and Special Insurgency payments to disabled veterans prior to 2001.

“The ministry has and continues planning to provide various forms of assistance to either pensioners or non-pensioners with special focus on our efforts to lighten the burden of our veterans’ cost of living,” he said during the question and answer session at the Dewan Rakyat today.

He was replying to a question from Mohamad Imran Abdul Hamid (PKR-Lumut), who wanted to know when the pension adjustment for armed forces personnel could be implemented.

Hishammuddin, who is also Special Functions Minister, said before 2013 when the new ATM salary scheme was introduced, the pension rate for ATM pensioners was also adjusted.

He said pension adjustments for all pensionable former military personnel are implemented in accordance to the Permanent Forces Regulations (Pension, Gratuity and Other Benefits) 1982.

“As a simulation, ATM pensioners with the rank of Warrant Officer 1 who retired in 1978 with a salary of RM1,120 received a pension of RM560, but after several pension adjustments, in 2017 receives RM1,544.75,” he said.

Hishammuddin said at the tabling of the 2018 Budget on Oct 27, the government agreed to raise the minimum pension rate to RM1,000 for pensioners with 25 years of service, and it also applied to personnel of other ranks with 21 years of service.

Replying to a supplementary question from Mohamad Imran, who wanted to know if the Armed Forces Council (MAT) was tasked with the pension adjustment for retired ATM personnel, Hishammuddin said the council was only involved in matters relating to ATM administration, such as provided in Article 137 of the Armed Forces Act 1972.

“From the legal aspects, MAT has no choice in matters relating to expenses (salaries and allowances) because it has to be approved by Parliament and the Finance Ministry,” he said.

- Bernama

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