Business

400 big companies to delay minimum wage

June 22, 2013

More than 400 big companies have received the green light to postpone the implementation of minimum wage of RM900 a month until Dec 31.

Human Resource Minister Datuk Richard Riot said the postponement was made due to various reasons, including the financial capability of the companies to implement the minimum wage, announced by Prime Minister Datuk Seri Najib Tun Razak previously.

"Overall, all the private sector agreed and did not protest against the decision of the government to implement minimum wage but they asked for flexibility due to certain reasons.

"To date, we have received 400 applications from companies seeking for the date to be pushed to Dec 31 and I have approved the applications," he told reporters after the 2013 Workers' Day gathering at the Bukit Jalil Stadium today launched by Prime Minister Datuk Seri Najib Tun Razak.

The announcement of the RM900 monthly minimum wage for the private sector for the peninsula and RM800 a month in Sabah, Sarawak and Labuan was made by the Prime Minister on April 30 last year and gazetted on July 16.

The Minimum Wage Order 2012 was enforced on Jan 1, 2013 and the rate would be studied every two years.

Meanwhile, Riot said the National Wages Consultative Council would hold a meeting with employers from micro companies to discuss on the implementation of minimum wage on July 25.

He said, to date, the ministry had yet to receive any application for the postponement of minimum wage from micro companies but employers would have an opportunity to do so at the meeting.

In his speech, Riot said 2012 witnessed the national economy managing to weather the impact of the global economic crisis. He said the success was due to agreement and consensus to ensure the national development agenda could be continued and inherited by the coming generation. - Bernama, June 22, 2013.

 

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