Higher G&G security fees

Monday December 20, 2010

By JADE CHAN jade@thestar.com.my

THE proposed hike for security services, which could go as high as 50% from next year, has drawn the ire of affected residents.

They are against the move as it would result in an increase in their monthly security fees. However, there are those who said it would be acceptable if the security services provided were justifiable.

Graphic designer JP Lim expects an increase in the security fee before or after Chinese New Year, although there has not been any official notice issued by his residents association (RA).

“I am presently paying RM80 per month, but the monthly fee could go up to RM100 to RM120 with the expected increase,” said the Kemuning Utama resident of two years.

“The security fee was RM60 per month when I first moved in, but it was increased to RM80 half a year later.

Gated and guarded residential areas like Kota Kemuning in Shah Alam would most likely see a 50% hike for security service

“There was subsequently a proposal by the RA to increase the monthly fee to RM100, but that suggestion was shot down because most residents disagreed with the hike.”

Describing the present security service as satisfactory, Lim said an increase in the security fee for Kemuning Utama would be unavoidable since there would be a similar increase in the market.

Bandar Sri Damansara RA president Ravindran Raman Kutty said they were against the hike, which could be increased to RM70 per month from next year onwards compared with the present RM50.

“Our community has no choice but to engage the services of the security companies to protect our families and homes, although it is rightfully the duty of the police force,” he said.

“We feel the demand on our community is unfair and uncalled for. The rate for security fees should be based on demand and supply.

“If the existing company cannot provide the service at a reasonable price, then we should be able to engage a different one.”

Ravindran said the additional fees the residents were forced to pay could be put to better use such as for community activities and facilities.
Although there has not been any formal notices, Kota Kemuning RA chairman Mohamed Siraj Abdul Razak said the security companies were most likely in the process of revising their fees, and that the hike could take place as early as next month.
Prime Minister Datuk Seri Najib Tun Razak had announced during the tabling of Budget 2011 that there would be an increase in security guard salaries, effective from January next year.
Najib, who is Finance Minister, said the security guards would be entitled to a minimum wage of between RM500 and RM700 a month (depending on location), compared to their present monthly wage between RM300 and RM400.
Hence a security guard could be earning more than RM1,000 monthly by then, taking into account salaries and allowances.
The higher security guard minimum wage was supposed to be implemented in April, but was postponed after security firms refused to increase the salaries of the 150,000 guards in Malaysia.
Security Services Association of Malaysia (PPKKM) president Datuk Shaheen Mirza Habib declined to comment, and said that the association would be making a statement on the matter later this month.
This is despite the fact that the PPKKM had already advertised an announcement on the implementation of new rates for provision of security services for static/ unarmed guard services, armed guard services and cash-in-transit from Jan 1, 2011 onwards.
The new rates would be a minimum of RM7.50 per person per hour for static/ unarmed guard services, RM15 per person per hour for armed guard services, and RM110 per hour for cash-in-transit for Selangor and the Federal Territory.

http://thestar.com.my/metro/story.asp?file=/2010/12/20/central/7644203&sec=central