RM1,500 minimum wage will help SME workers, says union group


The enforcement of the RM1,500 Minimum Wage Order for employers with fewer than five workers begins today. – The Malaysian Insight file pic, July 1, 2023.

THE enforcement of the RM1,500 minimum wage for employers with fewer than five workers, which starts today, will eliminate discrimination against workers in the small and medium enterprise (SME) sector, who have been complaining about their low wages. 

Malaysian Trades Union Congress (MTUC) secretary-general Kamarul Baharin Mansor said the RM300 salary excess will provide relief to employees and help improve their quality of life.

“MTUC hopes this will alleviate the discontent of workers who are being burdened by the rise in the cost of goods,” he said in a statement today.

Kamarul Baharin called on the Labour Department to take a proactive approach in effectively enforcing the minimum wage order, including by conducting regular inspections.

“The department should not just wait for complaints from employees before taking action,” he said.

On December 27, Human Resources Minister V. Sivakumar announced the implementation of the Minimum Wage Order for employers with fewer than five workers had been again postponed from January 1 to today.

He said the decision was made after taking into account the views of the many stakeholders that are affected by financial and economic uncertainty. 

The Minimum Wage Order took effect on May 1 for employers with five or more workers in all sectors. – Bernama, July 1, 2023.



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