One voice: (From left) Lee and Sivakumar.
JOHOR BARU: While workers are eagerly expecting more disposable income next month, some in the business community are getting ready to implement the minimum wage policy, and there are others who are hoping that the government will delay it.
For Ramlah Ibrahim, 36, who works in a shop in Bandar Baru Uda, a RM200 increase in her salary is helpful for her family with four young children.
“The cost of living in Johor Baru is high, especially food and rental, because of its close proximity to Singapore. It is good that the government has increased the minimum wage to help cushion the impact,” she said.
Another worker, Tan Kim Hock, 32, said the increase is timely.
“Previously, I can buy a week’s worth of groceries for RM100. Now you can just get a few items.
“My family cooks food at home daily as it is too expensive to eat out,” he said.
Security guard S. Moorthy, 42, said with the RM1,700 minimum wage in place, his employer would need to revise the amount paid to his EPF, Socso and overtime.“The government should come down hard on companies that do not implement the new minimum wage policy,” he said.
Employers with fewer than five workers will be given a six-month deferment until Aug 1, 2025 to implement the minimum wage policy.
The Human Resources Ministry will publish a set of guidelines for the starting salaries of industrial and production technicians (RM2,290), mechanical engineers (RM3,380) and professional creative content designers (RM2,985).
Meanwhile, Small and Medium Enterprise Association of Malaysia southern region chairman Ryan Lee said some companies have taken steps to increase wages while others are hoping for a delay in the implementation of the policy.
“I have about 600 workers in my company and started paying RM1,800 as minimum wage. We have to stay competitive as it’s not easy getting workers especially with the higher Singapore currency,” he said.
Lee, who is also a committee member in the Federation of Malaysian Foundry & Engineering Industries Associations, said the cost of hiring a foreign worker added up to about RM3,600 per month.
Meanwhile, Johor Indian Business Association (JIBA) president P. Sivakumar said many of their members are ready to implement the new wage as it would also help boost productivity among the workers.
“I am sure workers will be motivated to work harder with more money in their pockets, especially in expensive cities such as Johor Baru.
“Even mamak food costs RM18 to RM20 per meal while mixed rice is about RM10,” he said, adding that JIBA is supportive of the move to increase the minimum wage.