by Raziz Rashid
Malaysia has now taken a definitive and historic step toward reinforcing its democratic foundations with the passage of the Parliamentary Services Act (PSA) 2025 by both Houses of Parliament.
This reform represents a transformative shift in governance by restoring the autonomy of Parliament, which had operated under executive oversight since 1992.
The reinstatement of the PSA reflects the steadfast commitment of Prime Minister Dato’ Seri Anwar Ibrahim and Minister in the Prime Minister’s Department (Law and Institutional Reform) Dato’ Sri Azalina Othman Said to institutional reform and democratic renewal.
For more than three decades, Malaysia’s Parliament functioned with diminished autonomy, limiting its role as an effective and independent legislative body. With PSA 2025, Parliament is now empowered to reclaim its rightful place as a co-equal branch of government, capable of managing its affairs, free from direct administrative and financial control by the executive.
This legislative transformation fulfils the long-awaited aspiration to restore the independence and professionalism of the country’s highest lawmaking institution.
The History and Repeal of the PSA
The Parliamentary Services Act was first introduced in 1963 by the country’s founding Prime Minister, Tunku Abdul Rahman Putra Al-Haj, as part of efforts to institutionalise the independence of Parliament. The law enabled Parliament to hire its own staff, manage its internal finances, and operate outside the executive’s control — hallmarks of any functioning parliamentary democracy.
However, this autonomy was dismantled in 1992 through a constitutional amendment under then-Prime Minister Tun Dr Mahathir Mohamad. Parliament’s administrative and financial affairs were placed under the jurisdiction of the Prime Minister’s Department, and the PSA 1963 was repealed.
While the move was officially framed as an attempt to create broader career paths for civil servants, it effectively brought Parliament under executive administration, eroding the principle of separation of powers. Dewan Rakyat Speaker Tan Sri Johari Abdul recently remarked, “Successive prime ministers have avoided addressing this issue because power remained in their hands,” underscoring the entrenched resistance to institutional reform.
Key Reforms Introduced by PSA 2025
The PSA 2025 makes several structural and policy changes that bring Malaysia in line with modern parliamentary democracies. It introduces institutional safeguards that reinforce the independence of Parliament while upholding transparency and accountability.
Firstly, it establishes a Parliamentary Service that is distinct from the general public service. This move creates a dedicated structure for the recruitment, management, and promotion of parliamentary staff, allowing Parliament to build a professional and specialised workforce focused on legislative work.
While the Parliamentary Service is operationally autonomous, it will operate within a hybrid system where certain administrative and staffing policies from the Public Services Department (JPA) are still adhered to. Civil servants may continue to be seconded into Parliament where necessary, but the governance and development of parliamentary officers will be led internally.
Secondly, financial autonomy is restored to Parliament. Under the PSA 2025, Parliament will prepare and submit its budget directly to the Ministry of Finance. While allocations still require federal approval as part of the national budget process, Parliament’s financial planning is now guided by its internal priorities and not subject to executive dictates.
Oversight remains with the Auditor General’s Department, preserving accountability for public spending while ensuring that Parliament’s independence is not undermined by financial constraints.
One of the most important structural changes is the formation of the Parliamentary Services Council (MPP). This bipartisan body will oversee staffing, budgeting, administration, and strategic planning for Parliament. It will include the Dewan Negara President, Dewan Rakyat Speaker, deputy speakers, senators, MPs from both the government and opposition, and senior parliamentary staff.
The Council will provide institutional memory, continuity, and a clear governance framework. It is empowered to allocate resources for select committees, establish support units for legislative research and analysis, and even create a dedicated Parliamentary Drafting Department to improve the quality and responsiveness of Malaysian lawmaking.
Furthermore, appointments to key positions such as the Secretary of the Dewan Rakyat and Dewan Negara are no longer restricted to those within the civil service. These roles can now be filled by experienced professionals from the private sector, academia, or civil society, increasing diversity, innovation, and expertise within Parliament’s leadership ranks.
The Mother of All Reforms
Azalina, who led the PSA’s tabling, has described it as the “mother of all reforms.” She emphasised that the PSA is not simply a legislative revision but a constitutional rebalancing that gives real meaning to the doctrine of separation of powers. “This Act enables Parliament to finally operate independently, professionally, and autonomously, without executive interference,” she said.
She also noted that the bill was the result of extensive engagement across 2023 and 2024. These included consultations with the Senate President, Dewan Rakyat Speaker, Public Service Department, Finance Ministry, Attorney General’s Chambers, and civil society organizations. This level of multilateral participation ensures the PSA 2025 reflects not just a legal framework, but a consensus-based approach to democratic reform.
With the PSA now approved by both the Dewan Rakyat on March 5 and Dewan Negara on March 20, Malaysia becomes one of the few countries in the region to formalise and enshrine parliamentary autonomy through legislation.
Azalina remarked, “The passing of this bill is a meaningful chapter in our constitutional journey and a foundational step in building a Parliament that is robust, transparent, and truly representative of the people.”
How PSA 2025 Benefits the Nation
With PSA 2025 in force, Malaysia can expect multiple institutional benefits that will have a long-lasting impact on governance and public trust.
An autonomous Parliament will be able to function as a genuine check on executive power, improving the quality of governance. Without executive control over its operations, Parliament can now conduct oversight without fear or favour. This includes strengthening parliamentary select committees, improving legislative scrutiny, and ensuring that national policies are evaluated with academic rigour and public interest in mind.
Financial independence, though still subject to national budgeting, will be exercised through the Parliamentary Services Council. The Council can allocate funds directly to critical functions such as committee hearings, research support, public consultations, and outreach initiatives.
It may also establish new units, including a Parliamentary Law Drafting Office, to support better legislative outcomes and reduce dependency on executive agencies.
More importantly, this reform guarantees that Parliament is no longer a department within the executive. It reasserts the supremacy of Parliament as envisioned in Malaysia’s Federal Constitution. This will help rebuild trust among the public, academia, and civil society that Parliament is not just a ceremonial chamber, but a proactive and self-governing institution.
A Defining Moment for Malaysia’s Democracy
The enactment of the PSA 2025 is not merely symbolic—it is a constitutional correction and a democratic imperative. For decades, Parliament operated under executive management, its role
curtailed and its potential constrained. With this reform, Malaysia has taken a bold and necessary step to reclaim the foundational principle of separation of powers.
The MADANI government has demonstrated the political will to let go of power in favour of institutional balance. By reinstating Parliament’s autonomy, it is building the very foundation of democratic accountability.
This is not just about empowering MPs; it is about restoring the people’s confidence that their legislature is equipped, independent, and responsive.
PSA 2025 may have been long overdue, but its passage signals a new era. It reflects a Malaysia that is ready to move forward with maturity, transparency, and constitutional fidelity.
It is a reminder that democracy, when rooted in institutions, and not personalities, becomes resilient.
Raziz Rashid is a strategic communications consultant, former Head of Corporate Communications at the Prime Minister’s Department, and Chairman of Pertubuhan Sukarelawan Siber Selamat.