Govt to proceed with RM1.5k minimum wage on May 1 – Saravanan

The government will go ahead and implement the new minimum monthly wage of RM1,500 from May 1 nationwide regardless of the situation, said Human Resources Minister M Saravanan.

He said, however, the government has provided some leeway by deferring the implementation of the minimum wage rate to several employment sectors including the informal sector and companies with less than five employees when it comes into force.

"Prime Minister Ismail Sabri Yaakob has announced that May 1 will be the day for the implementation of the minimum wage in appreciation of employees, so rain or shine, we will continue with this RM1,500 (minimum wage).

"What is important is that it is not based on my wishes, but we follow the act (the National Wage Consultative Council Act 2011) where the minimum wage must be reviewed every two years," he said.

He said this to reporters after the Zero Homeless Initiative, under the Social Security Organisation (Socso) Job Placement Programme at Menara Perkeso in Kuala Lumpur on April 18.

Earlier, he also witnessed the signing of a memorandum of understanding (MOU) between Socso and MyQaseh Sdn Bhd to establish cooperation in providing job placement services for the homeless under the initiative.

Saravanan said a few parties were willing to take advantage of the flexibility given by the government in the implementation of the minimum wage, which could ultimately prevent people from benefitting from it.

He also admitted that it is difficult to please all parties, especially employers, regarding the minimum wage implementation that will be enforced next month.

Last March, Ismail Sabri said the government will implement a minimum monthly wage of RM1,500 beginning in May this year, but there are some employers and associations still asking the government to reconsider the matter today.

On the Zero Homelessness Initiative, Saravanan said it was in line with the government's intention to create 300,000 jobs this year, thus addressing the issue of homelessness in Malaysia.

He said a total of 100 homeless people had benefitted from job placements last year and there was a need to streamline the coordination of assistance so that the homeless problem could be resolved.

The MOU, which focused on getting job offers for the homeless, was signed by Socso chief executive officer Mohammed Azman Aziz Mohammed and MyQaseh chief executive officer Trina Thomas Raj.

- Bernama