Lim Guan Eng was among the first senior politicians to call for migrant workers in micro, small and medium enterprises (MSMEs) to be exempt from the minimum wage and Employees Provident Fund (EPF) schemes.
Now, the cabinet has exempted MSMEs from the upcoming minimum wage increase “for the time being”. The entrepreneur development and cooperatives minister, also from the DAP, announced the decision.
Syabas (well done) on this remarkable ‘achievement’. Millions of workers in the sector have lost their right to a minimum wage increase.
Official figures show about 48.7% of the country’s total employment are in MSMEs. That is 8.1 million people.
Can Malaysia ever become a high-income nation with so many workers exempt from the next minimum wake hike? We should also worry that wages will stay stagnant. Wage growth for 8.1 million workers will probably be held back.
Two classes of workers
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So, only roughly half of low-wage workers in the country – those in larger companies – will benefit from a higher minimum wage.
The other half – those in MSMEs – will, regrettably, be left at the mercy of their bosses for any wage reviews.
This is discrimination in how we treat our workers. Even the government of the day never envisaged such injustice when it introduced the policy. The minimum wage was meant to set a floor for all workers. Since 2013, the government has never strayed from that core aim.
Now, under the supposedly caring ‘Madani’ government, low-wage workers are being treated unfairly to favour one class of employers. It is a case of “harapkan pagar, pagar makan padi”.
Some businesses will feel the impact of a higher minimum wage. The government should address their concerns case by case, rather than excluding the whole MSME sector.
Denying close to 8.1m workers coverage under the new minimum wage increase is deeply unjust and morally wrong.
We call on the prime minister to reverse the decision to exempt MSMEs from the upcoming minimum wage increase.
AGENDA RAKYAT - Lima perkara utama
- Tegakkan maruah serta kualiti kehidupan rakyat
- Galakkan pembangunan saksama, lestari serta tangani krisis alam sekitar
- Raikan kerencaman dan keterangkuman
- Selamatkan demokrasi dan angkatkan keluhuran undang-undang
- Lawan rasuah dan kronisme
