MTUC CAMPAIGN FOR A

MINIMUM WAGE OF RM900

 

The special committee set up by MTUC General Council decided to launch an extensive campaign to persuade the Government to legislate a minimum wage of RM900 throughout the country.

 

Currently the Employment Act which sets minimum conditions on annual leave, sick leave, public holidays, working hours and a few other terms and conditions is silent on the basic and most essential issue of wages. Absence of a specific provision on wages has led to widespread exploitation. The Employment Act 1955 should be amended to stipulate a minimum wage of RM900.

 

Minimum Living Wage

 

Minimum wages constitute an integral and a very important element of the trade union movement’s holistic approach towards creating, sustaining and improving the quality of live of our workers.

 

MTUC’s proposal is based on the essential and basic needs of a single person :

 

We do not believe that any reasonable person will dispute a worker’s right to the most basic elements listed.

 

 

Survey on Minimum Wage

 

A study of wage scales in 165 companies showed that even in major towns such as Penang, Ipoh, Shah Alam and Johore Bahru, unskilled general workers are paid as low as RM300 to RM350 per month. Union representing Felda Trading employees in Kuala Lumpur reported that their minimum wage is RM273.00

 

Overall, the study shows that 46.2% of the company’s involved are paying a minimum wage below RM400 per month, and only 15.4% of the companies pay more than RM500.

 

Commenting on Government’s statement that wage increase must be based on productivity, Rajasekaran said that a minimum wage must be put in place before implementing productivity related annual wage increase. He insisted that a minimum wage must take care of workers basic needs.

 

Action Plan

 

Since this important issue has remained unresolved for too long,  MTUC will launch a series of action to find an acceptable solution.

 

·         Initially 10,000 postcards seeking the support of the Government will be forwarded to the YB Minister of Human Resources and the YAB Prime Minister of Malaysia.

 

·         Members of the public who have expressed support for our campaign will be requested to write to the Government.

 

·         All 230 MTUC affiliates will table this proposal for discussion at their General Meeting and Delegates Conferences

 

·         Appeal seeking the support of all members of Parliament and Senate will be sent out.

 

By setting and implementing a minimum living wage of RM900, Government will be able to effectively address :

 

-                      industries need for manpower

-                      reduce dependency on foreign labour

-                      eradicate poverty

-                      improve purchasing power

-                      strengthen and increase manufacturing, and

-                      facilitate positive economic growth.

 

With 2 million foreign workers in the country Government is in a good position to discard and end the low wage regime.

 

 

(G. RAJASEKARAN)

Secretary General

 

Petaling Jaya

9^th June 2000