Adopting new minimum wage for implementation July 1
Published on: Wednesday, May 11, 2016
Kota Kinabalu: The State Government will decide whether the new Minimum Wage Order 2016 should be adopted in the State at the next Cabinet meeting on May 18, ahead of the implementation of the law on July 1. State Resource Development and Information Technology Minister Datuk Siringan Gubat on Tuesday said there are processes involved on any new Federal practice when it comes to Sabah, although the State Government would not go against its laws. He said whether the new salary cap will be implemented in Sabah would be decided and followed by an official announcement by the State Government only after the Cabinet members deliberate on the matter.
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"We have received the statement from the Human Resource Ministry on the Minimum Wage Order … but there is still a process to follow. "The matter will be treated the same way as the Bangladeshi workers episode, where the State Government decided not to take any of them although, they were meant to fill vacancies in certain industries nationwide," he told reporters, after chairing a meeting with headmasters and principals for the State-level Teachers' Day Card drawing competition. The new Minimum Wage Order, which was gazetted on April 29, covers all employees in the private sector except domestic helpers and the new salary cap for the peninsula is RM1,000 per month or RM4.81 per hour, while it is RM920 per month or RM4.42 per hour for Sabah, Sarawak and Labuan. Meanwhile the daily minimum wage is also subject to a maximum number of hours worked per week, namely, 48 hours under the new order.
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Presently the minimum wage in the peninsula is RM900 while for Sabah, Sarawak and Labuan it is RM800.So far, Siringan noted he had received no complaints from employers or trade chambers after the Human Resource Ministry announced the new salary quantum earlier this month. Members of the Malaysian Trades Union Congress Sabah Chapter (MTUC Sabah) met him recently over the matter.
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The union suggested that the salary of Sabahan employees be standardised along with their peninsula counterparts, saying if workers there will be getting RM1,000 in July, so must the locals here. "I have advised MTUC to draw up a proposal and hand it to the State leaders to be deliberated. I too will try to forward the idea in the State Cabinet later," said Siringan, adding the State Government cannot make decisions that appear to go against Federal policies. Still, he said, as there are still around two months to go the Federal Government may revise the increment. "Personally, I am in favour of a standardised salary scale for all workers nationwide. However, this also involves the interest of employers and we don't blame the Government if the salary scale is varied between regions, given that the position of companies in Peninsular Malaysia varied from companies in Sabah. "This is why many employers here are not in favour of a higher salary cap. But look at the employees in the private sector, including in plantations, a majority of them are foreigners." Towards this end, Siringan said this could be the reason why many locals shun jobs in these sectors as the pay is not equal to the needs of the workers. "If the salary is standardised than low pay would be a non-issue in Sabah." Siringan said only Felda Sahabat in Lahad Datu pays its employees RM1,000, which is above the minimum wage scale and appealed to companies to emulate Felda in terms of giving their workers better pay. Earlier, Siringan also announced that around 200,000 Teachers' Day cards have been sent to schools across Sabah. He noted the artwork covers were selected winning paintings of students who participated in a card-drawing competition in conjunction with the upcoming Teachers' Day celebrations. Stay up-to-date by following Daily Express’s Telegram channel.
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