[UPDATED] Minimum wage detailed mechanism to be announced soon: Saravanan

PUTRAJAYA – The detailed mechanism and implementation of the minimum wage of RM1,500 per month will be announced soon, said Human Resources Minister Datuk Seri M. Saravanan.

In welcoming the announcement made by Prime Minister Datuk Seri Ismail Sabri Yaakob yesterday, Saravanan said the move was in line with the decision taken in a cabinet meeting on March 11.

“It is clearly in line with the government’s commitment to increase wages and workers’ well-being. The move is also expected to make a positive contribution to stimulate the country’s economy through the increased purchasing power of workers,” he said in a statement today.

Yesterday, Ismail Sabri announced the government has increased the minimum wage to RM1,500 per month and it will be implemented nationwide for certain companies effective May 1.

The prime minister said the new minimum wage would initially apply to big companies, and government-linked companies (GLCs).

The minimum wage was last revised on February 1, 2020, when it was increased by RM100 from RM1,100 to RM1,200 during the tabling of the Budget 2020.

Meanwhile, in Pendang, Deputy Human Resources Minister Datuk Awang Hashim said the ministry will deliberate on the postponement of the implementation of the new minimum wage for some business sectors, especially involving micro, small and medium enterprises.

He said some employers would be given an exemption to implement the minimum wage of RM1,500 per month from May 1, but it was still at the discussion stage at the ministry level.

“We will announce it soon. But, most importantly, on May 1, we have taken a stand for the move to benefit the lower-income group in the country,” he told reporters after launching the Jom Masuk Pendidikan dan Latihan Teknikal Vokasional @ KSM programme here today. – Bernama, March 20, 2022