PETALING JAYA: The ongoing review of the minimum wage does not necessarily mean that the rate will be increased, says the UNI Malaysia Labour Centre (UNI-MLC) president.
Datuk Mohamed Shafie BP Mammal said the review should instead allow the government, workers and employers to assess various indicators before deciding whether the current minimum wage remains suitable.
“Changes in the cost of food, housing, transportation, education and other basic necessities have a direct impact on workers’ purchasing power, particularly those in the lower-income group.
“For workers, wages are not merely a figure on a payslip. The more important question is what they can afford with that salary and whether it is enough to meet their families’ basic needs,” he said in a statement on Wednesday (Aug 19).
Mohamed Shafie said the government’s ongoing review of the Minimum Wages Order 2024 was important in determining whether the current rate remained relevant to workers’ needs and circumstances.
“When the cost of living changes, the real value of workers’ income also changes.
“That is why wage rates need to be reviewed from time to time to ensure workers’ welfare and purchasing power continue to be protected,” he said.
He added that workers were among the main pillars contributing to the country’s economic growth and development, and their welfare should continue to be taken into account when formulating labour market policies.
He said workers should not be in a situation where most of their monthly income was only enough to cover basic necessities, leaving little room for emergencies, their children’s education or savings.
“Workers go to work every day to build a better life for their families.
“They should not only be able to pay their bills and buy food, but should also have some room to save, take care of their health, pay for their children’s education and deal with unexpected expenses.
“We are not talking about luxury, but about being able to live a decent life through their own work,” he said.
Mohamed Shafie said UNI-MLC was also prepared to provide its views and cooperate in the review process to ensure the country’s wage policies remained responsive to economic changes and the realities faced by workers.
