Economics
Malaysia to Dismiss Thousands of State Workers to Cut Spending
- 17,000 contractual staff to be fired, ministers pay to be cut
- Malaysia’s debt stands at 65% of GDP, higher than 55% limit
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Thousands of government workers in Malaysia will lose their jobs and state agencies will be dissolved as Prime Minister Mahathir Mohamad moves to curb spending and debt.
The government will dismiss 17,000 contractual employees and reduce ministers’ salaries by 10 percent, Mahathir said in a press briefing after his first cabinet meeting in Putrajaya on Wednesday. Contracts, including those for the search of aircraft MH370 and for the Singapore-Kuala Lumpur rail, will be reviewed, he said without giving a timeline.