Wednesday, 21 January 2015








JERIT welcome the announcement made by Prime Minister Najib Razak yesterday in reducing the Government expenditure nearly  to RM39 billion from the 2015 budget which was presented in October last year.  


This would give an opportunity to the Government to provide more attention to issues that need immediate consideration for the rakyat. In regards to that, JERIT, once again would like to remind the Government, that this year, is a year to review the amount of minimum wage which was introduced in 2013. In fact, JERIT viewed that the news which was published in the Star newspaper on 20 January, reported that the National Consultative Wage Council (NCWC) has submitted the new proposed Minimum Wage recommendation to the Human Resource Ministry . The news report also indicated that the new Minimum Wage would be increased to RM1000.  Government should stop flip flopping on this matter and take serious steps to implement Minimum Wage of RM1500. In the past, we have sent numerous memorandums to the Government on this and we hope the Government will not play deaf again on our demand.



The Malaysian Employers Federation (MEF) director, Datuk Shamsuddin has said “the current minimum wage should be maintained and it is reasonable at this time”. JERIT finds his statement merely irresponsible  as he is not even aware that, with increased of living cost and constant price hikes, any workers that earn below RM 3000 would not able to survived in this country.   Would the MEF boss survive with RM900 or RM800 as per month’s salary? It was also reported in article published by Free Malaysia Today on 23 December 2014 that in year 2013,  about 33.6% of GDP went towards workers’ wages, 64.2% was retained by employers as surplus, and a mere 2.2% was collected as taxes. While in 1971, 33.8% of GDP was paid as wages, 51.7% was employers’ operating surplus, and taxes comprised a higher share of 14.5% of GDP.

In short, the surplus gained by the employers has been increasing but the wages share for the workers did show any sign of significant increase since 1971.



The ministry has to be stern and take actions against any employers who have not implement the Minimum Wage in their respected companies or workplaces. Until this moment, JERIT still receives many complaints from workers of the company that yet to implement minimum wage policy. The Government has obligations to take appropriate actions against employers that failed to implement Minimum wage.


Now, this is the right time to implement Minimum Wage 1500 in all part of the country and to all domestic and foreign workers. No one should be discriminated. 


JERIT strongly urge the Government  to stop the implementation of GST in April 2015 and to review the Minimum Wage policy once again with the wider consultation and discussion with all the relevant stakeholders especially the workers and the NGOs like JERIT that been working with the working class.  The implementation of GST and lower Minimum wage policy will add more burden on the lower income population. If the Prime Minister is concerned about the people of this country then he should implement Minimum Wage 1500 and stop the implementation of GST.



Released by,

Sivaranjani Manickam

JERIT Coordinator






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