Thursday, July 5, 2012

Job Street Minimum Wage Survey

KUALA LUMPUR, 6 June, 2012 The Malaysian government recently announced the new minimum wage, set at RM900 for Peninsular and RM 800 for East Malaysia. 

A survey conducted by drew mixed responses on the new policy from the employers.

From the total of 1,520 human resource personnel who took part in the survey, 44% disagreed with the new minimum wage policy, 33% agreed and 23% remained status quo.

When asked if their company will hire less, lay-off or retrench its workers, it appeared to be a split decision. 43% said they may do so while another 42% said they would not. The remaining 15% were unsure.

Employers also felt the pressure to increase pay for the higher level skilled workers as 65% believed that their employees would demand for a pay rise as well.

47% of the respondents foresee that their company will be forced to pass on the cost to the consumers. 26% on the other hand said their company will not increase prices while the remaining 27% were unsure of the decision.

A majority of the respondents (78%) believed that their company is already paying a fair wage to the lower income group.

On the question of how much should the minimum wage be for these workers, 35% said it should be below RM900, 27% felt that RM900 - RM1,100 is ideal and 15% said RM1,100 and above.

The remaining 23% do not agree with the policy of setting a minimum wage.

A total of 1,520 human resource personnel took part in the survey that was conducted by in May 2012.

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