Govt trying to identify best model for living wage, says minister

The government is studying a Bank Negara Malaysia (BNM) proposal on the implementation of a living wage in the country, the Dewan Rakyat was told today.

Human Resources Minister V Sivakumar said the BNM 2017 Annual Report had proposed a living wage rate of RM2,700 for unmarried adults in urban areas, RM4,500 for couples without children, and RM6,500 for couples with two children.

"The government needs to carefully study and identify the most suitable model for our country," he said in response to a supplementary question from Awang Hashim (PN-Pendang) on whether the government would consider implementing proposals on a progressive wage model.

Sivakumar said the progressive wage model needed a more detailed study that is in line with the current economic and labour conditions in Malaysia.

He said the implementation of a minimum salary and a progressive wage had a common objective of giving protection to workers who are receiving the lowest salaries.
 
He also said that from May to December 2022, the Peninsular Malaysia Manpower Department had conducted 17,565 statutory inspections on employers regarding the implementation of the minimum wage order.

Of these, 2,448 compliance recommendations were issued for violations of the order, he said.

During the same period, the Sabah Manpower Department conducted 5,707 inspections and issued 128 compliance recommendations, while its Sarawak counterpart carried out 5,490 inspections and made 83 compliance proposals, he said.

Sivakumar said this to a supplementary question from Tan Kar Hing (PH-Gopeng), who asked about the extent of field monitoring and enforcement done by the ministry and the action taken against those who violate the order.