Monday, June 23, 2008
Finance Ministry shoots down GLC pay rise plan
Monday June 23, 2008
Finance Ministry shoots down GLC pay rise plan
KUALA LUMPUR: The Government has decided to reject the proposed 100% salary increase for senior officials of government-linked companies (GLCs) including Tenaga Nasional Bhd (TNB).
“The GLCs submitted a proposal for a 100% salary rise but this was not approved by the Finance Ministry,” Prime Minister Datuk Seri Abdullah Ahmad Badawi, who is also Finance Minister told reporters after a special briefing on fuel subsidy restructuring for Barisan Nasional MPs and senators.
It was reported that Khazanah Nasional Bhd had agreed to increase the salary of the GLC top management by 100%.
Meanwhile, TNB staff unions are hoping for a better deal than the 3% salary increase.
The three unions – TNB Junior Officers Union (TNBJOU), Amalgamated Workers Union and the Senior Officers Association – with some 25,000 members in total have yet to accept the 3% rise in the Collective Agreement, which expired at the end of last year.
TNBJOU president Zamri Yasin said a fourth meeting on the CA would be held on July 8.
“We hope the management will increase the offer,” he said. “It is not fair to give us 3% while the top officials get a 100% increase,” he added.
“We are confident the management will consider our request in the wake of the oil price increase which has increased the standard of living,” he told The Star.
On June 4, the Government announced that there would be a 20 % increase in electricity tariffs effective July 1.
The Federation of Malaysian Consumers Association secretary Muhammad Shaani Abdullah said that the Government should be looking into ways to assist consumers instead of increasing the cost of living.
“Certainly, increasing the salary of TNB’s top management and ignoring the employees is not the right thing to do,” he said.
Monday, June 16, 2008
Fomca: Help families cope
Monday June 16, 2008
Fomca: Help families cope
PETALING JAYA: Families earning up to a maximum of RM3,000 in monthly incomes should enjoy interest-free housing loans, free healthcare and education.
Federation of Malaysia Consumers Associations (Fomca) secretary-general Muhammad Sha’ani Abdullah, who made the call, said households in this income bracket needed Government assistance in view of the rising costs of living.
He said Fomca had sent a memorandum to the Finance Ministry in March on the matter, adding that schoolchildren from such families should also be entitled to free food in schools.
He said the body had conducted a simple survey which showed that a family of four schoolgoing children needed at least RM3,000 a month to make ends meet.
“At times, the lower-income group cannot even afford to service their loans for low-cost houses,” he said.
He felt that the lower income earners should also be provided with coupons for free public transportation.
On the Government’s move to phase out subsidies, Sha’ani suggested that a “quota system” be implemented for subsidies.
“For example, a person should be able to buy 200 litres of subsidised petrol per month, and pay the full price for any amount after that.” Sha’ani also advised consumers to spend wisely and look out for cheaper alternatives.
Consumers Association of Penang (CAP) president S.M. Mohamed Idris said while many would have to tighten their belts to cope with rising costs, they should not hold back on essentials such as food and education.
He said people should cut down only on excesses and lavish spending, but not be “stingy” about basic essentials.
“People need to get their priorities right and differentiate between their wants and needs. Even with the price increases, people should not skimp on food and education expenditure.”
He also encouraged the public to make healthier food choices and even grow their own vegetables, and reduce their intake of alcohol and cigarettes.
To cut down on unnecessary purchases, he advised consumers to make a list of their current expenses, and then match their monthly budget by deleting non-essentials from the list.
Saturday, June 07, 2008
Time for prudent spending
| Saturday, June 7th, 2008 | ||
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Time for prudent spending
A bitter pill for Malaysians to swallow following 40 pct hike in price of gasoline
KUALA LUMPUR: There is no other choice but to be thrifty.
That is the “bitter pill” Malaysian consumers have to swallow following the 40 per cent hike in the price of gasoline.
This is expected to have a “domino effect” on other consumer goods and services.
The end result is what the people fear most, that is the spiralling cost of living.
Many were caught by the unexpected price increase as they had expected it to take effect in August.
The pump price of petrol effective June 5 is RM2.70 for a litre, up from RM1.92 while diesel now costs RM2.58 a litre compared to RM1.58 previously.
This is the highest fuel price hike in the country so far.
The last time the country experienced a substantial pump price hike of gasoline was on Feb 28, 2006 when the price for petrol went up by 30 sen a litre.
And, despite the latest price hike the government is said to be still subsiding the cost of fuel to the tune of RM18 billion a year.
The worst possible scenario is that the public may have another huge load on their shoulders when one day the government decided to do away with the subsidies on gasoline.
Secretary general for the Federation of Malaysian Consumers Association (Fomca), Muhammad Sha’ani Abdullah said the people should realise that petroleum is not a resource that can be replenished.
He said, the government should come with a plan for a sustainable production of this commodity.
“Malaysia as the producer and exporter (of petroleum) should be prepared for 2014 when the country is expected to import to meet its needs and in the 2020’s, the country is expected to be fully importing the petroleum,” he said.
Meanwhile, the government, he added should meet its pledge in trying to reduce the heavy burden faced by the people in view of the spiralling cost of living.
He said, the government should ensure that it spends the tax payers money prudently and be transparent and accountable when allocating the funds for the respective sectors.
“The cash rebate (for the fuel price hike) should not be the only form of assistance to the people.
“The government should also provide more relief on the telecommunication services, water supply, public transport fare, health, education and housing as well as TNB tariff.
“This is crucial towards lessening the socio-economic on the lower and middle income groups,” said Muhammad Sha’ani.
Prime Minister Datuk Seri Abdullah Ahmad Badawi, when announcing the restructuring of subsidies for gasoline on June 4, said the government would pay cash rebate for owners of private motorised vehicles.
Owners of private vehicles that have the cubic capacity (cc) of 2,000 and lower, as well as pick-ups and jeeps of up to 2,500cc are lined for RM625 cash rebate each a year.
Meanwhile owners of motorcycles of 250cc or lower are entitled to RM150 each a year.
In the wake of the latest fuel price hike, the government should direct all of the government-linked companies (GLCs) to review the rate of services offered to the public.
“Some sort of revision should be made in order not to burden the lower-income earners, like doing away with the monthly subscription,” he said.
Muhammad Sha’ani also called on the government to direct financial institutions to reschedule loans taken up by the public or provide long-term facility for those who have credit card and overdraft problems.
The government should also direct the Employees Provident Fund (EPF), via the Malaysian Building Society Bhd (MBSB) and Syarikat Perumahan Negara Berhad (SPNB) to provide interest free housing loans or that with low interest for the low-income earners.
Before this latest hike of pump fuel price, the wallets and purses of Malaysians are already getting thinner.
Right from early this year, the price of consumer goods and services is steadily and gradually on the rise.
It may be not too much of a strain for the rich, but for those who are already finding it difficult to make ends meet, the scenario has turned worse.
“The impact from the latest fuel price hike is going to burn a big hole in the pockets of the people, particularly those staying in the urban areas as they have to spend more on transportation costs.
“This will also spark a chain reaction towards production and transport costs,” said Muhammad Shaani.
Hence, the price jump of consumer goods and services is imminent, said Mohd Yusof Abdul Rahman who is Fomca’s communications director.
Mohd Yusof said on the average, Malaysians spend 40 per cent of their income on food.
“The price of goods would definitely make their spending higher to about 50 percent now.
“The price of processed food will go up as the raw materials would be more costly due to the higher transportation charges.
“Hence, restaurants and food stalls are expected to raise prices,” he said.
Mohd Yusof advised Malaysians to review their budget, lifestyle and spending habit in accordance with the latest development.
“They need to be thrifty in their life. If they have some spare land near their house, they can start planting vegetables. For those staying in high-rise like apartments, they can use the pots or the hydroponics method,” he said.
“Whenever possible, try to car pool and use lower cc vehicles as they consume less petrol.
“Also try to cut down the expenses on utilities like telephone, water and electricity,” he said.
Mohd Yusof also urged mobile telephone users to use more of the SMS service instead of making calls as the sms is much cheaper.
“They should also do away with the superfluous accessories like ringing tones, tips, horoscope and games,” said Mohd Yusof.
— Bernama
Friday, June 06, 2008
BERNAMA : Fuel Price Hike: Time For Prudent Spending
| June 06, 2008 10:39 AM |
Fuel Price Hike: Time For Prudent Spending
By Melati Mohd Ariff
KUALA LUMPUR, June 6 (Bernama) -- There is no other choice but to be thrifty.
That is the "bitter pill" Malaysian consumers have to swallow with the governments recent announcement on the some 40 per cent hike in the price of gasoline.
This latest fuel price hike is expected to spark a "domino effect" on other consumer goods and services.
The end result is what the people fear most, that is the spiraling cost of living.
However many were caught by the unexpected move by the government to increase the pump price of fuel.
Malaysians had expected such a price jump would take effect in August this year.
The pump price of petrol effective June 5 is RM2.70 for a litre, up from RM1.92 while diesel now costs RM2.58 a litre as compared to RM1.58 previously.
This is the highest fuel price hike in the country had experienced so far.
The last time when the country experienced a substantial pump price hike of gasoline was on Feb 28, 2006 when the price for petrol went up by 30 sen a litre.
And, despite the latest price hike the government is said to be still subsiding the cost of fuel to the tune of RM18 billion a year.
The worst possible scenario is that the public may have another huge load on their shoulders when one day the government decided to do away with the subsidies on gasoline.
DEPLETING RESOURCE
Secretary general for the Federation of Malaysian Consumers Association (FOMCA), Muhammad Sha'ani Abdullah said the people should realise that petroleum is not a resource that can be replenished.
He said, the government should come with a plan for a sustainable production of this commodity.
"Malaysia as the producer and exporter (of petroleum) should be prepared for 2014 when the country is expected to import to meet its needs and in the 2020's, the country is expected to be fully importing the petroleum," he said.
Meanwhile, the government, he added should meet its pledge in trying to reduce the heavy burden faced by the people in view of the spiraling cost of living.
He said, the government should ensure that it spends the tax payers money prudently and be transparent and accountable when allocating the funds for the respective sectors.
"The cash rebate (for the fuel price hike) should not be the only form of assistance to the people. The government should also provide more relief on the telecommunication services, water supply, public transport fare, health, education and housing as well as TNB tariff.
"This is crucial towards lessening the socio-economic on the lower and middle income groups," said Muhammad Sha'ani.
Prime Minister Datuk Seri Abdullah Ahmad Badawi, when announcing the restructuring of subsidies for gasoline last June 4, said the government would pay cash rebate for owners of private motorised vehicles.
Owners of private vehicles that have the cubic capacity (cc) of 2,000 and lower, as well as pick-ups and jeeps of up to 2,500cc are lined for RM625 cash rebate each a year.
Meanwhile owners of motorcycles of 250cc or lower are entitled to RM150 each a year.
INTEREST OF LOW-INCOME EARNERS
In the wake of the latest fuel price hike, the government should direct all of the government-linked companies (GLCs) to review the rate of services offered to the public.
"Some sort of revision should be made in order not to burden the lower-income earners, like doing away with the monthly subscription," he said.
Muhammad Sha'ani also called on the government to direct the financial institutions to reschedule loans taken up by the public or provide long-term facility for those who have credit card and overdraft problems.
The government should also direct the Employees Provident Fund (EPF), via the Malaysian Building Society Bhd (MBSB) and Syarikat Perumahan Negara Berhad (SPNB) to provide interest free housing loans or that with low interest for the low-income earners.
IMPACTS
Before this latest hike of pump fuel price, the wallets and purses of Malaysians are already getting thinner.
Right from early this year, the price of consumer goods and services is steadily and gradually on the rise.
It may be not too much of a strain for the rich, but for those who are already finding it difficult to make ends meet, the scenario has turned worse.
"The impact from the latest fuel price hike is going to burn a big hole in the pockets of the people, particularly those staying in the urban areas as they have to spend more on transportation costs.
"This will also spark a chain reaction towards production and transport costs," said Muhammad Shaani.
Hence, the price jump of consumer goods and services is imminent, said Mohd Yusof Abdul Rahman who is FOMCAs communications director.
Mohd Yusof said on the average, Malaysians spend 40 per cent of their income on food.
"The price of goods would definitely make their spending higher to about 50 percent now.
"The price of processed food will go up as the raw materials would be more costly due to the higher transportation charges. "Hence, restaurants and food stalls are expected to raise prices," he said.
START TO BE FRUGAL
Mohd Yusof advised Malaysians to review their budget, lifestyle and spending habit in accordance with the latest development.
"They need to be thrifty in their life. If they have some spare land near their house, they can start planting vegetables. For those staying in high-rise like apartments, they can use the pots or the hydroponics method," he said.
"Whenever possible, try to car pool and use lower cc vehicles as they consume less petrol.
"Also try to cut down the expenses on utilities like telephone, water and electricity,"he said.
Mohd Yusof also urged mobile telephone users to use more of the sms service instead of making calls as the sms is much cheaper.
"They should also do away with the superfluous accessories like ringing tones, tips, horoscope and games," said Mohd Yusof.
BERNAMA
Tuesday, June 03, 2008
MMail : Consumers will have to cut down on expenses
3 June 2008
Consumers will have to cut down on expenses
| |
“Rice is our staple food. It is such a big part of our diet.
With rising prices, the burden om consumers will of course be higher,” stated Muhammad Sha’ani Abdullah, the secretary-general of Federation of Malaysian Consumers (FOMCA).
He predicts in order to cope with rising prices, consumers will have to cut down on expenses, such as books and other luxuries.
“Consumers will also have to start looking into unbranded products which are cheaper and be prudent in their spending. For those who can afford to do so, growing your own vegetables will be one way of cutting down on your grocery bill,” said Muhammad Sha’ani.
An informal survey by Fomca into rice pricing in supermarkets revealed that ceiling prices on certain varieties of rice, such as the 5 per cent and 10 per cent broken rice mix, were not being followed.
Sha’ani reported that prices were RM10 over the ceiling price in some cases and the printed receipts did not accurately state the variety of rice purchased. Fomca noted consumers stick to a preferred brand while sundry shops have reported difficulty in getting certain varieties of rice.
“There are mechanisms in place to help control the price of rice. However, Bernas is not enforcing these mechanisms, a situation that we found very surprising.” According to Sha’ani, Bernas enjoys joint ventures with rice exporters in Thailand, which allows them to negotiate favourable prices.
However, this has not been passed down to consumers.
“Bernas has control over the national stockpile of rice which is used to regulate prices but they have not been enforcing it.
“From 140 direct retail outlets nationwide, they now have zero and currently claim only 45 per cent of the market share. How can this be? They have left themselves open to manipulation,” said Sha’ani.
A letter sent by Fomca to the rice control division of the Ministry of Agriculture over a month ago addressing these issues did not receive response.
