96pct of Mkini readers want MP pensions replaced with EPF

Malaysiakini readers are unequivocal in wanting pensions for MPs to be replaced with contributions to the Employees Provident Fund (EPF).

According to a Kini News Lab poll on the issue, an overwhelming 96 percent of 8,035 respondents who participated agreed with this suggestion.

Ninety-three percent of 7,778 respondents agreed with Prime Minister Anwar Ibrahim’s suggestion for MPs to take home only one pension if they are eligible to get multiple pensions from service at the state and federal level, and other government positions.

The response eclipses previous Kini News Lab polls, including on the various federal budgets and Anwar’s first year, which garnered about 3,000 votes.

The poll was conducted as part of the Kini News Lab’s two-part series looking at the amount MPs can receive in pensions and allowances.

The poll results were measured from votes cast between publication time at 9am on June 19 to 10am on June 25.

It should be noted that this is not a scientific survey and it is technically possible for one individual to vote multiple times using different devices or browsers.

However, the comment section which requires readers to log in via email indicates that reader sentiments reflect the poll results. More than 300 comments were received.

READ MORE: How much pension can MPs receive?

Retired civil servant frustrated

One reader, who said he served more than 30 years in the civil service in a utility agency, expressed his frustration with how low his pension is, even compared to a state assemblyperson, let alone an MP who served just one term.

“I served with sweat, tears and sleepless nights attending to breakdowns before the privatisation (of the utilities agency), for more than 30 years.

“My pension now is only RM2,200 a month whereas an assemblyperson who served for 36 months gets more than RM3,000 a month. Utterly unfair,” he wrote.

Others questioned if MPs deserve the allowance and pensions they receive if they are unable to provide the service expected by the rakyat.

“It’s really unfair that elected representatives can receive a lot of allowances, but when the rakyat asks for help at the service centres, they are faced with bureaucratic hurdles that it is difficult to get any help,” a reader who identified herself as Zatie added.

She also suggested that MP allowances are cut if they are absent from Parliament sittings, given the number of empty seats which can be seen during sessions.

Matthew Robert noted that military personnel who dedicate themselves to national security for less than 20 years do not qualify for pensions, while MPs need only serve for a term.

“MPs should improve the military pension scheme and not remain silent instead of defending the rights of ex-military personnel. I will never support such hypocritical politicians,” he said.

Some respondents questioned the seeming conflict of interest, whereby MPs set their own salaries and pensions.

“The real issue is, why should lawmakers have the power to approve any salary or pension they think suitable? It’s like giving ordinary employees the power to pay themselves what they like. Of course, it will be abused!” Peter said.

Others suggested revising and standardising pension eligibility for all government servants, including MPs, or at least increasing the minimum years of service required for pension entitlement to two or three terms, rather than just three years.

Ex-MPs disagree with abolishing MP pensions

Earlier some former MPs pushed back on the suggestion to replace MP pensions with EPF, arguing that EPF contributions from a single term of service will be insufficient for retirement and that unlike the civil service MPs should be compensated for insecurity of tenure.

They also said the savings gained from switching MP pensions to EPF may not even justify the administrative cost of making the change.

However, economist Muhammad Khalid estimates that making the switch could save the government RM2.4 million per MP, which is about half a billion ringgit for a single cohort of Dewan Rakyat members.

While this figure may seem small in the larger scheme of government expenditure, he said, it can be used for other pressing needs like raising the salaries of lower-ranked police personnel, nurses and teachers.

Former Batu Kawan MP P Ramasamy said it is unfair to suddenly make changes to MP pensions to reduce government expenses.

Ramasamy said EPF contributions could be a “possible answer to the existence of multiple pensions” but the reform must be comprehensive.

“It is for the government of the day to propose an effective formula for the reformed pension system.

“You can’t arbitrate reducing multiple pensions to one pension just because the government lacks funds. We cannot fault the pensioners for the government’s debt,” said the Urimai chairperson.

Ramasamy, who was also Seberang Perai assemblyperson, Penang exco member and deputy chief minister, enjoys two pensions from serving in federal and state positions.

Additional reporting by G Vinod

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