As long as the progressive wage policy is voluntary, the minimum wage should be maintained.
According to Malaysian Trades Union Congress (MTUC) Secretary-General Kamarul Baharin Mansor, a detailed conversation with stakeholders about the model or structure of the soon-to-be-implemented progressive wage policy has yet to take place.
“Because there hasn’t been extensive engagement, we don’t know where this progressive wage approach will go.” Will this policy result in the formation of a new body or commission in the future?”
As a result, the MTUC believes that the minimum wage should be kept because “we are uncertain about the direction of the progressive wage policy; and we are concerned about the fate of workers if this policy remains voluntary,” he stated today.
The Malaysian Social Protection Contributors Advisory Association (SPCAAM) questioned yesterday the assertion that the RM1,500 minimum wage would be preserved under the progressive wage system’s policy framework, noting many inadequacies.
It noted that the decision highlighted the success of large firms in influencing the government to continue exploitative work practises in the country, which adds to wealth disparities as well as unsustainable and uneven income growth.
Meanwhile, Kamarul Baharin said MTUC’s stance was clear that implementation of the progressive wage policy should be compulsory for all employers.
“Based on the government’s statement that the progressive wage policy would be voluntary, I believe the minimum wage should be maintained.”
Meanwhile, Kamarul Baharin stated that the MTUC’s position is clear: progressive pay policy adoption should be mandatory for all enterprises.
“Based on the government’s statement that the progressive wage policy would be voluntary, I believe the minimum wage should be maintained.”
“We fought for the RM1,500 rate back then, and with rising living costs, that rate is clearly insufficient.”
“Because I do not have the mandate to speak on behalf of the MTUC about raising the minimum wage rate, what we are demanding is the RM300 Cola… that is what we have been advocating for until now,” he continued.
Prime Minister Datuk Seri Anwar Ibrahim revealed earlier this month that the cabinet was debating the progressive wage policy in order to fine-tune its implementation in stages.
He had stated that this was also to investigate the need to give monies as policy incentives, which would be established depending on the government’s financial situation and policy requirements.
“The National Economic Action Council (MTEN) is debating the progressive wage policy proposal as a step towards revitalising the job market so that worker wages can be consistently increased and wage distribution can be more balanced.”
“This progressive wage policy is voluntary, incentive-based, and linked to productivity,” Anwar explained.
