By Karen Bong
KUCHING, Oct 10: All federal ministers will continue to take a 20 per cent salary cut, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2026 in Parliament today.
Anwar, who is also the Finance Minister, also unveiled several key initiatives aimed at supporting civil servants, military veterans, and contract retirees, alongside a landmark move to strengthen the judiciary’s integrity and independence.
In one of the most notable announcements, Anwar said judges will receive a salary increase of up to 30 per cent effective Jan 1, 2026.
“The last salary revision for judges was in 2015, and unlike other service schemes, they do not receive annual increments and are not allowed to hold other positions or engage in business. This adjustment acknowledges the judiciary’s integrity, independence, and the crucial role it plays in upholding justice,” he said.
The government will also raise the Cost of Living Assistance (Bantuan Sara Hidup) for 4,000 retired KEMAS contract staff, increasing the monthly rate from RM300 to RM500.
“To honour the sacrifices of military personnel, particularly recipients of the Pingat Jasa Malaysia (PJM), the government will provide a special one-off payment of RM500 to nearly 120,000 PJM holders, involving a total allocation of RM60 million,” Anwar said.
Recognising the dedication of long-serving civil servants awaiting promotion opportunities due to structural constraints, the government will extend the Performance-Based Incentive Assistance (Bantuan Insentif Berasaskan Prestasi) to the Management and Professional Group in the federal civil service.
“Under this initiative, officers who have served for at least six to eight years, depending on their grade, and have demonstrated excellent performance will receive a special monthly incentive equivalent to one annual salary increment at their current grade,” he explained.
To encourage lifelong learning and professional growth, the government will also provide a RM900 monthly Cost of Living Allowance for recipients of the Federal Training Award (Partial Scholarship) or HLP Separa Biasiswa beginning in 2026. The number of recipients will also be increased from 100 to 150 per year. — DayakDaily
