Business

Minimum wage exemption till Dec 31 for employers with fewer than five workers

Deputy human resources minister says Order still applies to professional fields like lawyers, doctors

Updated 4 years ago · Published on 12 May 2022 10:55PM

Minimum wage exemption till Dec 31 for employers with fewer than five workers
Deputy Human Resources Minister Datuk Awang Hashim says the relaxation in the implementation of the Minimum Wage Order 2022 is to give employers room to make appropriate preparations. – Bernama pic, May 12, 2022

ALOR STAR – Employers with fewer than five workers have been exempted from the implementation of the Minimum Wage Order 2022 until the end of the year, said Deputy Human Resources Minister Datuk Awang Hashim.

He said, however, that employers involved in professional fields such as lawyers and doctors would still have to follow the stipulated minimum salary of RM1,500 for each employee, regardless of how many workers they had.

“All employers in any economic sector are not exempted from the implementation of the Order which came into effect on May 1. But for other employers (with fewer than five workers), they have been given a deferment until December 31 this year.

“This relaxation is to give them some room to make appropriate preparations regarding the payment of salaries that has been finalised by the government,” he told reporters after the Social Security Organisation’s (Socso) Hari Raya Aidilfitri event here today.

On April 27, the government gazetted the implementation of the minimum wage of RM1,500, which came into effect on May 1, for employers who employ five or more employees as well as for employers who carry out a professional activity classified under the Malaysia Standard Classification of Occupations 2020. 

Meanwhile, at the ceremony, Awang presented benefits to 13 insured persons, totalling more than RM26,100.

“Socso Kedah has presented benefits to insured persons totalling over RM29 million in 2021 compared to more than RM41 million in 2020. There was a decrease of 28.85% in total payments made, as in 2020, the Covid-19 situation was still bad,” he said.

“Besides that, Socso Kedah also made payments to insured persons infected with Covid-19 at the workplace from January to April 2022 amounting to more than RM7 million, with 4,633 cases.”

In the meantime, Awang also called on self-employed individuals, such as fishermen, gardeners and rubber tappers, to also contribute to Socso to ensure they were protected in the event of accidents or disasters while working. – Bernama, May 12, 2022

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