PETALING JAYA: In light of a recent Federal Court decision, Datuk Seri Anwar Ibrahim has announced that the government will reinstate the previous pension scheme for retired civil servants. The Prime Minister also revealed that a special assistance payout called the Special Appreciation for Pensioners (PKKP) would be provided to bridge the gap in the pension amount received.
On Wednesday (July 12), Anwar stated that civil servants who retired prior to 2013 would have their pensions reinstated to the pre-December 2012 level. Additionally, those who retired from 2013 onwards would have their pensions returned to the amount they received at the time of retirement.
Anwar emphasized the government’s recognition of the contributions made by retired civil servants and their concern for their welfare. “The government always appreciates the contributions of retired civil servants and is committed to their well-being,” he affirmed.
On June 27, the Federal Court unanimously dismissed the government’s appeal against the Court of Appeal’s decision, declared in January 2022, which deemed the amendments made to the Pensions Adjustment Act in 2013 unfavorable to retired civil servants. These amendments included a 2% annual increment in pensions.
The reinstated scheme will now adjust and increase pensions each time the government declares a salary revision for civil servants.
Credit: The Star : News Feed