MTUC disappointed Budget did not address income levels
The Star
PETALING JAYA: Budget 2010 was aimed at making Malaysia a ‘high-income society’ but MTUC has expressed disappointment that minimum wage was not ad-dressed.
Its president Syed Shahir Syed Mohamud said: “Income levels must be raised in view of the rise in the cost of living in the country.”
Syed Shahir said MTUC would continue to push the Government to introduce a minimum wage of RM900 for private sector workers in the country.
Meanwhile, ASLI’s Centre of Public Policy Studies chairman Tan Sri Ramon Navaratnam said: “On one hand the Prime Minister wants to raise income but there is no provision for a minimum wage in the budget.”
Navaratnam also said that the fastest way to raise income without going through the pangs of economic transformation was by introducing a minimum wage.
He said a minimum wage would also help fight poverty and make a breakthrough in the present mid-income trap that it faces.
“The minimum wage can be based on the poverty threshold of RM700 a month,” he suggested.
He also said at present many shunned low-income jobs as they had to work so hard for so little.
“Because of this, some engage in undesirable activities such as crime in order to get a quick buck.
“Also, the dependence on foreign workers can be reduced if there is a minimum wage that provides for a decent standard of living,” he added.
Earlier, Navaratnam had written an open letter to the government calling for the introduction of a basic wage.
I am a middle income group but I fully support minimum wages. Look at country like France where the minimum wages is 1K in Euro. Imagine that will this wages even a garbage collector can enjoy holidays overseas and having a car.
What can Malaysian really do with 1K ringgit? It is even worst if someone earn below that. When can Malaysia progress in human capital or high income economy if big chunk of the people not even afford to travel overseas for exposure.
Trust me, this way Malaysian will never progress far. Forget about 2020.
Comment by Justice — October 28, 2009 @ 8:31 pm
A high income economy under a BN government presiding over a stalled economy, is wishful thinking. For a nation, FDI of under $5 Billion is a trickle, not enough for 2 sub-marines!
Real and disposable income is dropping fast following the oil shock of 2008 and subsequent imported and local inflation.
Over 50% of Malaysians are suffering from low income relative to cost of living.
Just think what is “high income” for Malaysians? Average annual income of RM 60k, 120k or 180k ? It has to be good disposable income after essential expenses of a family. What a miracle would you need even for RM 60k income p.a.?
A more realistic goal is a living wage propped up by a minimal wage, a social safety net, affordable public transport and quality public sector health care.
Kuching
Comment by francis nguf — October 28, 2009 @ 9:21 pm