Prime Minister Datuk Seri Anwar Ibrahim says privatisation must focus on worker welfare and fair wages rather than sole profit maximization.
SEPANG: Privatisation should not become a licence for companies to maximise profits while leaving workers behind, Prime Minister Datuk Seri Anwar Ibrahim said today.
He said the success of privatisation should be measured not only by improved efficiency and corporate earnings, but also by whether workers and their families enjoyed better living standards.
“The focus on profits and efficiency is not in dispute. But first and foremost, it is the welfare of workers,” he said in his speech at Telekom Malaysia Bhd’s (TM) 80th anniversary celebration at Multimedia University (MMU) here.
Recalling the privatisation of Jabatan Telekom in the 1990s when he was Finance Minister, Anwar said the Government had sought a different approach for major national entities such as Petronas, Tenaga Nasional Bhd (TNB) and TM.
“I agree with profits, I agree with efficiency, and I agree with the benefits and opportunities for new companies.
“But if that alone becomes the basis of our thinking in efforts to privatise government companies or departments, it is merely a transition that we have seen in many western countries,” he said.
Anwar said higher profits and greater efficiency should translate into tangible improvements in workers’ lives, including better wages, housing and educational opportunities for their children.
“When privatisation results in much higher profits, does it provide better returns and benefits for workers?
“Can workers’ housing be improved? Are their wages and salaries more generous? What about the future of their children – their schooling, their welfare and access to higher education?” he said.
He said this was the distinction Malaysia should strive for under the concept of a Madani nation, where stronger economic growth was accompanied by a broader distribution of its benefits.
“It should not merely be about amassing wealth, improving the position of those at the top and sidelining workers,” he said.
Anwar said he appreciated TM’s efforts to adopt a more caring and Madani approach to privatisation, rather than allowing wealth and benefits to become concentrated among senior management.
He said TM’s success should therefore not be judged solely by its financial performance, infrastructure or technological achievements, but also by how it treated its workforce and surrounding communities.
“Telekom Malaysia is well known. But we want it to be known not only for its large buildings, its financial results or its new technology.
“But also because it represents a company that is sensitive and concerned about the welfare of its workers and the communities around it,” he said.
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