Any Penang pension reform needs thorough legal review, says CM

Penang's Chief Minister Chow Kon Yeow emphasized the necessity of a comprehensive legal review for any pension reform affecting elected representatives and administration members. He echoed the proposal by Ong Ah Teong, who suggested the implementation of the “one person, one adjusted pension” principle to avoid overlapping retirement benefits for state assemblymen.

However, any modifications or reviews of the Members of the Administration and Members of the State Legislative Assembly (Remuneration) Enactment 1980 would need to be carried out in consultation with the state legal adviser. This review process would encompass pension entitlements, associated costs, and the practicalities of implementing such changes.

Chow stressed that these reforms must adhere to legal standards, safeguard recipients' rights, and ensure the responsible management of public funds. The state-owned daily Buletin Mutiara had earlier reported that politicians holding multiple positions, such as MP, assemblyman, state executive councillor, and chief minister, might receive multiple pensions.

One estimate suggested that a former senior political figure could accumulate monthly pension payments totaling up to RM30,000, sparking concerns about the financial strain on the state government. Chow also reiterated his request to Putrajaya for the return of a minimum of 20% of the tax revenue collected from Penang, arguing that this would aid the state in budgeting based on its economic conditions, local requirements, and public interests.

This proposal would be pursued via suitable legislative and financial avenues. The state assembly unanimously approved the upcoming year's budget of RM1.07 billion.