When the inflation rate was released a few months ago; as usual, only those social-political bloggers and perhaps some activists were making noise about how inaccurate it is and how the figure has been suppressed to create a ‘feel good’ factor amongst the rakyat. And as always, a lot of us didn’t really care. Our ‘tidak apa’ attitude was just so apparent.
Anyway, the rates published were…
For the year 2005/2006, the published inflation rate was 3.6% and for 2007, the inflation rate is 1.9% so far. There are some quarters which debated that the inflation rate is much higher. Would you agree?
The value-for-money and yet delicious pork noodles near my house increased its price from RM3.50 to RM4.00 per bowl recently. RM4.00 for a bowl of noodles may still be considered reasonable in the area that I stay in but the increase stands at 14.2% nonetheless. Then there is the very famous “pan mee” store near my house which increased its price from RM6 per bowl (for big portion) to RM6.50. That is an increase of 8.3%.
It is very obvious, to me at least, that the inflation rate is much higher than 1.9% for 2007. 1.9%? The more I look at the figure, the more I feel ridiculed by it. But like I said, many of us couldn’t care less. So what if it’s not overly accurate? Doesn’t really matter to you right?
Do you know that there are many companies out there, particularly Multi-National Corporations which formulate their annual staff increment policy based on inflation rate? A quick check with some of my friends who work in the human resource consulting industry also revealed that annual inflation rate is often used as a base to advice their clients on the appropriate increment.
Now, who are the clients of these human resource consulting firms and companies which formulate staff increment policy based on inflation rate? I don’t know about you but my company is certainly one of those.
You know how you always complain that prices of everything are going up except for your salary? Well, since many of you don’t give a damn about national inflation statistics… guess you can forget about appropriate increment, if you get any at all.
Anyway, just to digress…
Again? It’s getting too easy…