Basics of minimum wage

IN late 2013, the Barisan Nasional government determined the minimum wage rates of RM900 for Peninsular Malaysia and RM800 for Sabah (Labuan) and Sarawak. These rates were then enforced as “basic” wage as per the definition of minimum wages in Section 2 of the National Wages Consultative Council Act (NWCC Act) and the requirement of Sections 24, 43 and 44.

There was a long debate over whether the amount of RM900/RM800 should be construed and enforced as “basic” wage or as “total” wages.