KUALA LUMPUR: The National Union of Bank Employees (NUBE) has launched an initiative urging Payments Network Malaysia (PayNet) to abolish the RM1 interbank ATM cash withdrawal fee.
The union said the charge disproportionately impacts vulnerable communities still recovering from the Covid-19 pandemic.
NUBE general secretary J. Solomon criticised the fee as an unnecessary financial strain, saying the additional cost can quickly accumulate for those with limited resources.
"The RM1 withdrawal fee disproportionately affects those who can least afford it," Solomon added.
During the pandemic, PayNet had initially waived the fee, recognising widespread economic hardship.
However, the fee's reinstatement in February 2022 had reignited tensions between banking institutions and consumer advocacy groups.
NUBE had approached PayNet's shareholders, including Bank Negara Malaysia and 11 commercial banks, urging them to reconsider the policy.
Despite correspondence, no firm commitment to waive the fee has been made.
The union is now calling for either the complete abolition of the fee or the development of alternative solutions that provide financial relief to lower-income families.