Malaysia Minimum Wage

News began with:

KUALA LUMPUR, March 17 - Malaysia's top union chief Friday said the government should set a minimum wage of 1,200 ringit (316 dollars) for workers after as study revealed about two million workers were unable to enjoy a decent living. Zainal Rampak, president of the Malaysian Trades Union Congress (MTUC) said about two million Malaysian workers receive a monthly income of less than 600ringgit (158 dollars). Out of that, a million workers earned monthly salaries less than 300 ringgit, which is well below the country's poverty income line of 425 ringgit, he said. Malaysia has a total workforce of 8.74 million people.

2 million out of 8.74 million are not earning enough for a decent living (RM600, $158)! That is 23% of the workforce! And worse, half of that (ie 11.5%) are below the poverty income line! p/s: the statistics probably do not include the 'non registered' work force - part time maids, cleaners etc.

That is ridiculously low for a country heading to be fully developed country by 2020. The Malaysian GDP (per capita 2006 est.) was $12,900 or $1075 per month. That is a clear sign of the disparity between rich and poor.

The price of goods are already high (and rising). Minimum wage would help the poor buy necessities. Business supposedly will suffer. Maybe they would suffer at first (bosses have to pay more wage - higher overhead) but it also give higher purchasing power to the people. In the long run, the business still gain (people have more money to spend). This has clearly been seen with implementation of minimum wage in other developed nations.

I am lucky to earn enough for a living, but cannot describe how disappointed that many honest citizens, who work hard for their daily bread (instead of stealing or resorting to crime) are not rewarded by minimum wage for their efforts. Why would ANYONE keep working if resorting to crime earns more? I am certain a better wage will curb minor crimes.

It is up to the common people to to support MTUC in this just cause. Minimum wage will help the plight of the poor, and in the long run society will stand to gain.