Implementation Of Minimum Wage In Malaysia

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Implementation of minimum wage in malaysia. Minimum wages in malaysia averaged 1000 myr month from 2013 until 2020 reaching an all time high of 1200 myr month in 2020 and a record low of 900 myr month in 2014. The implementation of minimum wages in malaysia minimum wage legislation is gazetted by government in order to protect low skilled employees in order to increase their quality of life and reduce poverty. Pakatan harapan had pledged in its 2018 election manifesto to implement a minimum wage set at rm1 500 monthly. According to the national wage consultative council 2012 the set of a minimum wage is rm900 month for peninsular malaysia and rm800 month for sabah sarawak and labuan.

He said this was because the new minimum wage will only take effect from february 1. Minimum wage or der requires employers with six e mployees and above t o pay a minimum wage of rm900 a month in penin sular malaysia or rm800 a month in sabah sarawak and the federal territory of. Therefore this group of earner will not affected by the minimum wage. The minimum wage order 2012 was gazetted on 16 july 2012 which enforce the implementation of the minimum wage rates on 1 january 2013 for employers with more than five workers and on 1 july 2013 for employers employing five and less workers excluding firms that provide professional services classified under the malaysian standard classification of occupation masco.

It is because a reasonable and fair income distribution should be practiced. The government initially announced last september that the minimum wage would be raised next year to rm1 050 monthly throughout the country. This will benefit 3 2m private sector workers 25 8 of total employment other than those in domestic services. Minimum wages in malaysia increased to 1200 myr month in 2020 from 1100 myr month in 2019.