Malaysia

Budget 2022 not enough for low wage earners, B40: Penang MTUC

600,000 households have slid down from M40 to B40 due to the pandemic

Updated 4 years ago · Published on 30 Oct 2021 5:00PM

Budget 2022 not enough for low wage earners, B40: Penang MTUC
Although there is a lack of statistics, it is also thought that some from the T20 income group have also been relegated down to M40, says Penang Malaysian Trades Union Congress secretary K. Veeriah. – File pic, October 30, 2021

by Ian McIntyre

BUTTERWORTH – Budget 2022 lacks depth in addressing the fundamental issues confronting the vulnerable working class, namely providing quality jobs and sound wages to meet the rising living costs, and meeting healthcare needs.

One of the consequences of the reopening of the economy is the inflation in the prices of many goods and services, placing even more burden on wage earners, the Penang Malaysian Trades Union Congress (MTUC) secretary K. Veeriah said in a statement.

Hence despite the best of intentions, Budget 2022 has failed to address the real pressure faced by the working class, he said.

It was reported that more than 600,000 households have slid down from the M40 income group to the B40 on account of the devastating economic effects of Covid-19, leading to job losses, pay cuts and rising living costs.

There are also many pending grievances lodged through the labour mediation office or labour court over alleged unfair dismissal or reduction of salaries.

Although there is a lack of statistics, it is also thought that some from the T20 income group have also been relegated down to the M40 group, said Veeriah.

He said it was expected of the government to take a more holistic approach in addressing the real issues faced by the vulnerable segments of Malaysia.

“Sadly, that was not the case as the budget has failed to provide meaningful relief to those who are caught in the vicious cycle of low- and middle-income trap,” he said.

Much to the working class disdain, there were no provisions for an enhancement of the minimum wage let alone a migration to a living wage system in the budget.

The activist stressed that if the government is committed to the Malaysian Family concept, it would have been incumbent on them to extend their goodwill to the marginalised workers.

“They, in my view, have failed to do so!

“I would have thought that the sacrifices of the frontliners, in their unwavering commitment to handle the pandemic, ought to have been accorded due recognition. 

“Except for a thank you note, the finance minister (Datuk Seri Tengku Zafrul Tengku Abdul Aziz) showed little empathy in the matter,” he said.

There was no disclosure as to the government’s willingness to absorb the thousands of contract medical officers into permanent employment.

And there was not even a mention of the contribution of the contract cleaners or security guards who have tirelessly carried out their duties regardless of their own safety.

“On this score, I am disgusted with the government for not giving consideration of abolishing the government sanctioned contract labour supply system in spite of the fact that it has been described as modern-day slavery,” Veeriah said. – The Vibes, October 30, 2021

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