LETTER | In 2023, Malaysia had about 12 million employees, as stated by the Statistics Department (DOSM) Labour Force Survey Report for that year.
The majority work on low salaries. Six in 10 work for wages less than RM4,000 a month, while three in 10 receive salaries of less than RM2,000 a month as quoted by DOSM 2024 Employee Wages Statistics (Formal Sector) Report: Fourth Quarter 2023.
As a result, many are unable to have a decent life. Half of the workers earn less than RM3,000 per month.
A household of four people needs at least RM6,000 per month, based on the results of the EPF 2023 Belanjawanku Report.
Assuming there are two income earners per household, each will have to earn about RM3,000 a month.
“And yet, the banks penalise them with the unnecessary and heartless RM1 interbank withdrawal fee. On average, Malaysians use the ATM twice per month (BNM 2024 - Payment Statistics: Payment channels).
Assuming all transactions involve interbank cash withdrawals, a person will be charged RM24 per year just because his/her bank ATM is not available near his/her house.
This amount is not small, RM24 is equal to:
1) The food budget of a poor person for two days, or
2) The price of a meal for a poor student in school under the Supplementary Food Programme (RMT) for seven days;
3) Seven days of nasi lemak; or
4) Three days of nasi ayam, as revealed by the DOSM 2024 Analysis of Annual Consumer Price Index (CPI) 2023.
Online banking not that widespread
Malaysians in poorer states are also unjustly penalised. How many use internet banking?
Nationally, 75 percent. However, in poorer states, the percentage is much lower. Kelantan only 67 percent, Perlis 54 percent, and Sabah only 53 percent (DOSM 2024 ICT and Use Access by Individuals and Households Survey Report 2023.)
There exists a disproportionate impact on low-income workers as they have to depend highly on ATM withdrawals. During the Covid-19 pandemic, RM1 interbank ATM charge fees were waived. But now, banks have re-imposed the charge despite it already being a burden for low-income workers.
Have we learned nothing since the pandemic? This charge is unnecessary to begin with and there is no humane justification for having it now.
We know that banks are inhumane. But what about the regulator as part of this Madani government? Where is the Madani principle of social justice which aims to offer protection for vulnerable groups? Have they been forgotten?
The views expressed here are those of the author/contributor and do not necessarily represent the views of Malaysiakini.
