Mavcom chief earns a monthly salary of RM85k from flight passengers

Is it justified for Mavcom chief to earn a monthly salary of RM85,000 which is more than four times the basic salary of the prime minister? 

Should there be structural and institutional reforms to do away with the GLCs?

Transport Minister Anthony Loke revealed that the Malaysian Aviation Commission (Mavcom) executive chairman earns a monthly salary of RM 85, 000 and it comes from money paid by flight passengers.

He said that this is over four times what the Prime Minister himself earns.

The Government will be reviewing the salaries of all chairmen of statutory bodies and government-linked companies.

Loke said Prime Minister Tun Dr Mahathir Mohamad instructed the salary review after it was revealed that the Mavcom chief's monthly salary and allowance totalled RM 78,300 in 2016.

"There was a 3% increment in 2017, and a further 5% increment in 2018, so he is earning about RM 85,000 a month, that is more than what the prime minister earns. His basic monthly salary is just about RM 20,000.

"I raised this in the Cabinet meeting this morning and the Prime Minister has directed the Chief Secretary to the Government Tan Sri Ali Hamsa to review all salaries – not just of the Mavcom chairman, but also chairmen of other statutory bodies and GLCs," said Loke.

Mavcom's current executive chairman is Gen (R) Tan Sri Abdullah Ahmad.

Loke said the Trnasport Ministry has no immediate plans to abolish Mavcom, which was set up in 2016.

"Mavcom is funded by passengers, not the Government. It received an initial funding of RM 90 mil from the Government, but no additional grant was given after that.

"Their estimated collection – RM1 from each passenger – is RM 35 mil per annum, and the operational cost is RM25mil a year," said Loke.

Mavcom's executive chairman Gen (R) Tan Sri Abdullah Ahmad