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Monday, April 8, 2024

PSM calls for 'overdue' minimum wage rise on Labour Day

PSM deputy chairperson S Arutchelvan has called for the government to announce a rise in the minimum wage, suggesting it would be timely with Labour Day.

In a statement today, he said the minimum wage needs to be reviewed every two years.

“The last minimum wage review was done on May 1, 2022, which means the new rate should be technically announced on May 1, 2024.

“The previous prime minister Ismail Sabri Yaakob increased the minimum wage from RM1,200 to RM1,500 but not all workers enjoyed the new rate as the implementation for those who employed less than five workers was deferred to July 1, 2023,” said Arutchelvan.

He admitted that such a move did not seem likely as it was normal practice for the Minimum Wage Consultative Committee to hold discussions and consult with stakeholders.

“Neither PSM nor any of our labour fronts has yet to be invited for such a meeting. We are alarmed that the government seems not very interested in raising the minimum wage as many low-earning workers are struggling with the serious increase in basic items.

“It seems there is more publicity on the progressive wage policy to be introduced by Economy Minister Rafizi Ramli.

“The fact is that this is only at the pilot stage now with very limited companies involved. It seems like more of a diversion which will not bear fruit in the coming months,” added Arutchelvan.

No concrete statements

He reminded Prime Minister Anwar Ibrahim that Labour Day was less than a month away and that neither he nor the Human Resource Ministry had made any concrete statements on increasing the minimum wage.

PSM deputy chairperson S Arutchelvan

He sought an immediate review of the minimum wage, telling the government not to offer excuses it needs to undertake a study.

“PSM understands that the government is not ready to give a living wage as stipulated by a Bank Negara Malaysia study in 2017 but there is already an agreed formula to give minimum wage in this country.

“This formula takes into account the inflation rate, medium and productivity and if we use this formula, the minimum wage should be RM2,444 for the whole nation or RM2,568 for urban areas and RM1,884 for rural areas.

“Based on this formula, any minimum wage below RM1,800 is going to be a farce,” said Arutchelvan, adding that it was time for Anwar’s government to prove that it really wanted to help low-income workers. - Mkini

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