Contract scheme can help those with business ideas, says NGO

Philip Wong, director of the Sarawak Institute for Public Affairs.

KUCHING: Public servants with an eye for business could benefit from a proposed contract scheme in the future, according to Philip Wong, director of the Sarawak Institute for Public Affairs.

The proposed scheme is meant to eventually replace the permanent and pensionable establishment with the aim of reducing the burden of pension payments, now totalling RM28 billion.

Public Service Department director-general Borhan Dolah said the proposed scheme would cover only new appointments and would offer better pay, welfare and protection.

Wong said the proposed plan would help encourage enterprising staff to work in the private sector when opportunities arise. “At the moment, because of the pension scheme, many are reluctant for fear of losing their pension.”

He said many civil servants might want to run their own business but opted not to do so because of pensions, adding that this would result in unhappy and unproductive staff.

Parti Pesaka Bumiputera Bersatu (PBB) information chief Idris Buang has called for a greater study of the proposed scheme, and urged that the implementation not be done in haste.

“This subject calls for consideration of things that go deep into the hearts of each civil servant such as social security in retirement, healthcare, old-age poverty and much more, vis-a-vis the survival of the nation itself,” he said in a statement today.

He urged the federal government to conduct a holistic study, taking into account the input of all stakeholders, non-governmental organisations and experts.