The Malaysian government will be implementing the wage law it unveiled two years ago from New Year’s Day 2014 which has hiked the minimum salary for migrant workers.

As per the new minimum wage law, workers based in the eastern part of Malaysia (Sabah, Sarawak and the Federal Territory of Libuwan) will get a minimum monthly salary of 800 ringgit (Rs 24,400) and those in the rest of the country will receive a minimum of 900 ringgit (Rs 27,500).

There are an estimated 500,000 Nepali migrant workers in Malaysia. Most of them are based in the western part of Malaysia. The Malaysian government has directed the companies to implement the wage rate strictly.

Earlier, companies employing less than five workers were allowed to write to the National Wages Consultation Council by April 1 and those employing more than that by December to get a reduction in the wage rate.

The government had planned to implement the rule in January 2013 but extended the deadline by six months after the companies complained. The time limit was lengthened by another six months to allow around 635 companies to enjoy the facility.

“This regulation will help the workers to reduce their poverty and grow the country’s economy here,” Barnama News Agency quoted Malaysian Minister for Human Resources Datuk Richard Riot Jaem as saying. “I am confident that the implementation of the rule from next year will certainly help Malaysia to develop.”

A study conducted in 2009 revealed that 33.8 percent of the workers employed by private companies here have an income of less than 700 ringgit per month. The Malaysian government is hopeful of helping workers to reduce their poverty level through the new rule.

Stating that companies had been deducting the wages of workers, the Malaysia Trade Union Congress has suggested that the 72 manpower agencies in Malaysia form a committee including representatives from the government, employers and employees. The committee will help the government find out whether any company has implemented the new rule.

Nepali workers who have long been working for 546 ringgit a month will benefit from the new wage law.

Workers are hopeful that the regulation will be implemented like other government rules. If the regulation is fully implemented, all the Nepali workers will receive a raise of 354 ringgit (Rs 10,000) monthly.

“Since the government has pledged to implement it from 2014, we should believe in it,” said Amal Kiran Dhakal, labour attaché at the Nepal Embassy in Kuala Lumpur. “This is good news for Nepali workers.” He added that the embassy had been receiving complaints about low wages for some time.

 
Published on: 16 December 2013 | The Kathmandu Post