SHAH ALAM – The government has been urged not to rely too heavily on income labels such as T20 or T10 when deciding on subsidy withdrawals and various forms of assistance, as many individuals within these categories are also facing increasingly challenging economic pressures.
Logistics and transportation industry player Daniel Khoo said the perception that all high-income groups enjoy luxurious and stable lives no longer reflects today’s reality.
He said the rising cost of living, bank loan commitments, business operating costs and current economic uncertainties have caused many within these groups to struggle to maintain financial stability.
“I support the view that many people see the T20 or T10 groups as living comfortably, but the reality is that many are merely surviving.
“In major cities, although their income may appear high on paper, the monthly commitments they have to bear are also extremely high,” he said on Thursday.
Daniel, who is also the Malaysian International Humanitarian Organisation public relations chief said many business owners, professionals and company owners are currently facing serious cash flow pressures.
He said some companies have been forced to reduce their workforce, postpone investments and implement cost-cutting measures to ensure business operations can continue.
“They are also major contributors to the national economy through tax payments, job opportunities and business activities.
“So, do not easily judge these groups as if they no longer require assistance or subsidies,” he said.
At the same time, he also questioned the methods and criteria used by the government in determining income classifications while the country’s economic landscape remains uncertain.
He said relying solely on gross income is no longer suitable as the main measurement because living costs vary by location, while many people are burdened with debts and high financial commitments.
“Some may appear wealthy on the outside, but are actually financially fragile.
“That is why the government needs to look at the overall reality of people’s lives and not merely rely on figures or labels such as T20 and T10,” he said.