KUALA LUMPUR – Civil servants hired on contract from February 1, pending a new recruitment scheme, will be given permanent appointments under the new system when it comes into force, the Public Service Department (PSD) announced.
The contract scheme is only an interim measure while the government fine tunes the new scheme, the department said in a statement today, after a circular announcing the contract hirings was leaked yesterday.
“Appointments by contract are just an interim measure before implementation of a new system for permanent appointments to the civil service, which require amendments to the relevant laws.
“Offices hired on contract for the interm will be appointment as permanent posts through the new system that is being finalised.
“These permanent appointments will also be decided by performance and subject to the approval of department heads,” PSD said.
It added the new scheme will help the federal government ensure financial sustainability in the long run.
A circular dated January 15, which was leaked on social media yesterday, said new hires joining the civil service from February 1 will be employed on contract, pending implementation of a new scheme for permanent appointments for the civil service.
The move is part of measures to deal with Putrajaya’s rising pension bill, director-general Datuk Seri Wan Ahmad Dahlan Abdul Aziz said, and was decided by the cabinet on July 12 last year.
Putrajaya is currently conducting a comprehensive review of salary increments and allowances for the public sector, called the Public Service Compensation System (SSPA).
An interim report on the SSPA by the Public Service Department was submitted to Prime Minister Datuk Seri Anwar Ibrahim recently. The review is to be completed by the end of this year before the SSPA is implemented in 2025.
The last comprehensive review of public sector salaries and allowances was more than a decade ago, in 2012. – January 24, 2024