Human Resources Ministry to draft new method of implementing minimum wage

PUTRAJAYA - Human Resources Ministry will be looking into a new method to implement minimum wage to ensure the welfare of all workers in the country is protected, said its Minister V.Sivakumar.

In describing the monthly minimum wage of RM1,500 as relatively low, he said employers must ensure the wages of employees match their skills and knowledge.

"In the next Cabinet meeting, we will find a new method to set the wages for workers in the country,” he told reporters after the 2023 Labour Day celebration, themed ‘Pekerja Pemangkin Wadah Malaysia Madani ( Workers - Platform of Catalyst for Malaysia Madani) here today.

Prime Minister Datuk Seri Anwar Ibrahim, in his speech at the event, said the issue of minimum wage implementation will be discussed in the Cabinet meeting next month to get a definitive solution.

The minimum wage order came into effect on May 1, 2022, with a monthly minimum wage of RM1,500 for all sectors, regardless of region, for employers with five or more employees.

For employers with fewer than five employees, the implementation of the minimum wage has been postponed from Jan 1 to July 1 this year.

At the event, Anwar also announced an additional allocation of each RM 1 million to the Malaysian Trades Union Congress (MTUC) and Congress of Unions of Employees in Public and Civil Services (CUEPACS) to boost their management system.

Sivakumar said the RM1 million allocation for MTUC and CUEPACS will help both bodies to fight for workers' rights in this country.

Meanwhile, Cuepacs president Datuk Adnan Mat thanked the government for the additional allocation of RM1 million.

MTUC president Mohd Effendy Abdul Ghani said the implementation of the minimum wage should be reviewed by all parties so that it is more progressive and dignified in line with the current cost of living.

"The government must also monitor the minimum wage implementation so that employers are not complacent," he said and thanked the government for the additional allocation of RM1 million to support the congress’ administration. - BERNAMA