AN announcement on the direction of the Progressive Wage Policy (PWP) pilot project will be made soon, says Datuk Seri Abdul Rahman Mohamad (pic).
The Deputy Human Resources Minister said Prime Minister Datuk Seri Anwar Ibrahim is expected to make the announcement.
“I urge all to be patient,” he said in response to a supplementary question from Mohd Syahir Che Sulaiman (PN-Bachok), who wanted to know if the ministry would address salary disparities among employees regarding the PWP.
Abdul Rahman noted that there were wage disparities between different sectors, including workers from Peninsula Malaysia and those from Sabah and Sarawak.
He said the issue was discussed by the Cabinet following consultations with the National Wages Consultative Council and its technical committee.
Among the main points were the eligibility of companies participating in the PWP, the proposed entry salary, and annual increments, including cash incentives for different categories of workers.
In response to a query from Datuk Shamshulkahar Mohd Deli (BN-Jempol), Abdul Rahman stated that the Cabinet also deliberated on the possibility of extending the PWP pilot project.
“I dare not say how long the extension will be, but it has been proposed for a specific period,” he said.
Abdul Rahman previously stated that as of Aug 3 of this year, 1,892 accounts had been opened, with 776 companies applying to participate in the pilot project. The PWP is targeting 1,000 companies with a focus on micro, small and medium enterprises.
The pilot project opened for registration in June and involved local workers in construction, manufacturing, wholesale and retail trade, repair of motor vehicles and motorcycles, information and communication, and professional, scientific and technical activities.
The aim is to increase the wages of Malaysian employees, earning between RM1,500 and RM4,999.
Companies defined as “entry-level” will be given up to RM200 per worker for the first 12 months on the condition that they raise salaries yearly, either by matching or paying more.
Companies at the “non-entry level” will receive RM300 per worker.
The government had set aside RM50mil for the PWP, with incentives expected to be paid out starting this month.
