New fuel prices drives up transport allowance. The Star has agreed to increase transport allowance by a whopping 14% for its journalists. The new monthly allowance for reporters who have cars is RM1,060, up from RM840. Closest rival NSTP, which pays RM650 a month in transport allowance, is expected to follow suit.
With the recent 41% petrol price increase (63% for diesel), companies are expected to increase staff transport allowances to remain competitive and retain employees. The higher wages will result in costlier products and services. Expect your dailies to cost a few sen more soon, especially with exorbitant newsprint costs and shrinking advertisement revenues.