MTUC Sarawak welcomes new minimum wage increase

Andrew Lo

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KUCHING, Dec 19:  Malaysian Trade Union Congress (MTUC) Sarawak welcomes the implementation of raising minimum wage to RM1,200.

“MTUC Sarawak welcome the move as the first of many increase,” said MTUC secretary Andrew Lo in a statement today.

While he believed that higher wages would prompt workers to be more productive, he held that such a move could indirectly encourage employers to upgrade its workforce and reduce its dependence on foreign workers.

“Higher wages will spur higher productivity and encourage employers to invest in innovation and smarter and more efficient manpower in planning and reduce foreign workers,” said Lo.

The government has mandated that the new RM1,200 monthly minimum wage will be implemented on Jan 1, 2020 in the administered area of 57 city councils.

The Ministry of Human Resources (MoHR) said in a statement yesterday that the minimum wage would remain at RM1,100 a month in towns that are not considered as part of these councils.—DayakDaily