PETALING JAYA: The proposal to stop the critical service incentive allowance (BIPK) will demoralise the civil servants who are affected, says the MCA.
The party suggested that the allowances and benefits of ministers, their deputies, as well as head of government-linked companies , be cut instead.
It was jointly issued by MCA deputy president Datuk Dr Mah Hang Soon, MCA central committee member and social development committee chairman Datuk Dr Lee Hong Tee and MCA central committee member and Sabah Wanita MCA chairman Dr Pamela Yong. Only new intakes starting Jan 1,2020 will be affected by the cut, as staff appointed before that, whether permanent or temporary employees, will not be affected.
The elimination of BIPK would cause a huge salary cut and put the housemen and new medical officers in the B40 income bracket, or those with a monthly salary of less than RM3,860, it added. In Singapore, a houseman received between RM9,000 monthly after tax compared to RM3,671 in Malaysia, according to the MCA, adding that the BIPK cut would also affect the housemen’s ability to pay their student loans.
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