KUALA LUMPUR – The implementation of the RM1,500 minimum wage could be approved in a month or two, Human Resources Minister Datuk Seri M. Saravanan (Tapah-BN) told the Dewan Rakyat today.
He added that he will be providing an update on the matter next month after being questioned by opposition leader Datuk Seri Anwar Ibrahim (Port Dickson-PH) over its implementation timeline.
Meanwhile, the minister agreed with Anwar that a study must be carried out on the gig economy as it is popular among the youth.
Saravanan said this could be because jobs in the gig economy are paying more than the current RM1,200 minimum wage.
Earlier, Anwar said the country’s unemployment rate is distorted as the ministry did not include contract workers, part-timers and those employable under the gig economy.
He added that the ministry needs to provide comprehensive data to reflect the employment situation in the country.
Three days ago, Saravanan told the lower house that the government would implement a new minimum wage rate of RM1,500 in the near future, not at the end of this year.
“The government is actually ready to announce, but we are still looking into some things, because we do not want other employers to take the opportunity to try and reduce employees,” he said during Ministers’ Question Time.
Saravanan said the government is aware of the fact that the minimum wage needed to be reviewed every two years, but noted that the matter still needs to be studied rationally, given the job demand situation in the gig economy sector at the moment.
Last February, Saravanan was reported to have said that workers in the country were expected to enjoy the new minimum wage of around RM1,500 a month before the end of this year.
The last time the minimum wage was raised was on February 1, 2020, with an increase of RM100 from RM1,100 to RM1,200 per month, during the presentation of the 2020 Budget. – The Vibes, March 17, 2022