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The High Court has allowed a one-month period for the government and a group of 35 individuals, including former members of the judiciary and seven widows of former judges, to reach a settlement in a lawsuit concerning pension issues. This legal action was initiated due to the alleged failure of the government to address an appropriate increase in pension and benefits for the plaintiffs since 2015.
During the case management session before Judge Datuk Wan Ahmad Farid Wan Salleh, Christopher Leong, the lawyer representing the 35 plaintiffs, stated that both parties were granted time to engage in discussions without prejudice, aiming to achieve an amicable settlement. The court has set March 5 as the deadline for parties to provide updates on their progress.
Senior federal counsel Samsul Bolhassan, representing the government, confirmed the court's decision. This development follows the court's earlier decision on October 6, 2022, granting a two-month period for the government to explore the potential for a proposed settlement in the lawsuit.
The lawsuit, filed on January 24, 2022, named the government, the Prime Minister, the Cabinet, and the Director-General of Public Service as the first to fourth defendants. The plaintiffs are seeking a declaration that the failure to establish an appropriate increment of more than two percent in their pension and other benefits, as per Section 15B (2) of the Judges’ Remuneration Act 1971 (Act 45), violates Articles 125 (7) and 125 (9) of the Federal Constitution.
In addition to the declaration, the plaintiffs are requesting an order that the second or third defendant (Prime Minister and the Cabinet, respectively) advise the Yang di-Pertuan Agong to fix a higher increment of more than two percent annually on pensions and other benefits, effective July 1, 2015, in accordance with Section 15B (2) of Act 45.
The plaintiffs argue that under Section 15B of the Judges’ Remuneration Act 1971, the pensions of retired judges and dependents of deceased judges should be automatically adjusted based on the current salaries of serving judges, which are periodically reviewed. This process is required under Articles 125 (7) and 125 (9) of the Federal Constitution, according to the plaintiffs' claim.
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