Minimum wage by year’s end, says Subra

By Shannon Teoh
July 04, 2011

Subramaniam said the council was in the process of being filled. — file pic
KUALA LUMPUR, July 4 — Putrajaya has set the end of the year as the deadline to implement a minimum wage after the National Wages Consultative Council (NWCC) Bill was passed in Dewan Rakyat last week.

This comes after fierce criticism from opposition lawmakers who said the law does not guarantee that a minimum wage would be implemented since the Cabinet could veto and delay proposals from the council indefinitely.

With the Bill nearly certain to go through Dewan Negara unscathed, Human Resources Minister Datuk S. Subramaniam said today the council was already being formed and that the government would aim to set a wage floor this year.

“We are already setting up the council and it will weigh up all the information before making a proposal to the government. We target to implement a minimum wage policy by the end of the year,” the MIC deputy president told reporters.

Despite widespread concern raised by numerous employers, Putrajaya went ahead and tabled the highly-anticipated NWCC Bill in Parliament last week, paving the way for the implementation of a minimum wage policy in the country.

But the Najib administration came under fire over the Bill, with Pakatan Rakyat (PR) MPs saying the council was a futile exercise as the government would still have the final say in setting a minimum wage rate.

According to the Bill, the NWCC’s role will be to advise the government on all matters related to minimum wages, including its development at the international level as well as recommendations to the government on minimum wage rates and coverage according to sectors, types of employment and regional areas, among others.

It will comprise a chairman, a deputy, a secretary, at least five members drawn from public officers, at least five employee representatives, five employer representatives and another five others who have yet to be named — all of whom will be appointed by the human resources minister.

Subramaniam had also explained in Parliament that the five “others” will include independent and qualified experts like economists and academicians.

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