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Minimum wage for foreign workers must go on

haves vs have-nots

Lim Guan Eng has accused BN is favored foreigners by giving them same minimum wage with local workers is just another political polemic.

Let say PR is running Federal government after GE13 by keeping its promise to pay RM 1,500 for local workers as listed in the Orange Book. Take my word carefuly, PR will not keep its promise of RM 1,500 minimum wage judging from their responses on RM 900 minimum wage policy implemented by BN government.

In case I were wrong, PR government adjusts the minimum wage to RM 1,500 for all local workers in every sector.

Does PR has political will to deport 3 to 5 million foreign workers to force local employers hire locals only?

Do you think Malaysian employers will hire RM 500 foreign workers or RM 1,500 local workers for a same type of job?

Please use your brain, not your ball to think and talk unless you want to be a politician like Lim Guan Eng and Chua Soi Lek.

Kudos to BN government for adhering to the minimum wage policy for foreign workers after intense pressure from the employers to exempt them from the new policy.

Let me stress here that the minimum wage should be the basic salary excluding allowances, overtime pay, incentives and other fringe benefits for the employees and contract workers.

The minimum wage policy for foreign workers is to force local employers to hire more local workers instead of depending on the seemingly unlimited supply of cheap foreign workers, and go for mechanization and automation for productivity improvement.

The employers from local and foreign companies have been exploiting low wages for the past 30 years and the pathetic result is that 80% of Malaysian household income is still at below RM 3000 per month. The net wages growth for the working class does not correspond with the GDP growth over the last 30 years.

The Gini Coefficient, a missing yet critical economical indicator in the national budget has been exceeded the 0.40 red line for last few years is a sign of uneven and unjust wealth distribution amongst the Malaysians. The World Bank estimated that 80% of our national wealth is in the hands of 15% Malaysians and the income gap for haves and have-nots is at least 20 times.

Bank Negara should publish the Gini Coefficient yearly under the transparency and accountability principle to support economic transformation policy.

Local companies should move out their businesses to any country with cheaper labor cost like Myanmar, Indonesia, Cambodia, Vietnam, etc. if they find the labor cost is too prohibitive and uncompetitive for them to stay in Malaysia.

It’s high time for Malaysia to focus on high value-added and high technology industries and services to achieve high income nation status and break away from the middle income trap.

PR especially the DAP seems too have backtracked on the minimum wage policy by attending demonstrations organized by local employers to protest against the minimum wage for foreign workers. There is also no demand for a RM1,500 minimum wage at the KL112 rally.

As seen in The Star, http://thestar.com.my/news/story.asp?file=/2013/1/18/focus/12591898&sec=focus

This letter by Ashok Kumar in the Star is another good read, Give workers their due share.

Subra: Minimum wage policy will set number of foreign workers

KUALA LUMPUR: The government will review the need for foreign workers in accordance with the recently implemented minimum wage policy as this will promote greater employment opportunities for local workers.

Human Resources Minister Datuk Seri Dr S. Subramaniam said yesterday a special committee under his ministry had been set up to channel foreign workers to sectors that would need their labour or could afford to pay them according to the minimum wage policy.

He was speaking after delivering his keynote address at the 2nd Datacentre Malaysia Conference and Exhibition.

The floor wage of RM900 and RM800 per month for the peninsula and Sabah and Sarawak took effect this month.

“The minimum wage policy will go on and we will not backtrack on it.”

On Tuesday, Deputy Human Resources Minister Datuk Maznah Mazlan had said implementation of the policy was expected to cause about 50,000 foreigners working in petrol stations to lose their jobs this year.

Read more: Subra: Minimum wage policy will set number of foreign workers – General – New Straits Times http://www.nst.com.my/nation/general/subra-minimum-wage-policy-will-set-number-of-foreign-workers-1.202881#ixzz2ICCb3M5S

The nkkhoo.com comment board with Facebook account.
纸评 says:

麻坡一间家具厂逾200名外劳不满最低薪金制未落实,硬闯工厂,打伤4名生产部主管、推倒公司折叠式篱笆门、抛掷石头砸车及击破办公室玻璃门窗。

http://www.nanyang.com/node/516104?tid=643

nkkhoo says:

Deport these workers instead of paying them with shitty salary.

jhf says:

These rogue workers will soon replace Indians as gangsters.
Why BN is so confusing inthe min wage policy?
Subramaniam must go!
I hope it is the beginning of the end of labor intensive industry in Malaysia, else vision 2020 will be a nightmare.

Spicy & Fiery says:

500 workers strike and stop work at Digital Furniture Sdn Bhd in Muar. Now we know why Subramaniam will not be fielded as a BN candidate in Segamat that has 40% chinese voters. Apparently chinese taukeh in Johor could vent their frustrations on BN?

Bakri Chik says:

Sebelum ini pekerja sebuah kilang sawit telah di tipu sebegini rupa. Kini Kilang taraf nasional ditipu cara otak tak rasional. Seramai 1,000 pekerja pengeluar kereta nasional, Proton di Tanjung Malim dan Shah Alam mengadakan bantahan pada 8 Februari 2013 berhubung kenaikan minimum gaji bagi kakitangan sedia ada yang sebelum ini dibayar antara RM901 dan RM1,200 dan hanya mendapat kenaikan empat peratus.

BN pandai buat pelan pancing undi, tapi ini jelas perlaksanaan yang tak bijak langsung. Dengar khabar 500 pekerja asing kilang perabut di Muar juga mogok kerja kerana tak puas hati dengan perkara ini juga. Teruk lah tauke perabut Cina di Muar waktu hari HRaya Cina.

Kuanqiao says:

I think those Bangla workers in Muar furniture factories must be inspired by your writing here to stand up for their right for RM900 min pay.

nkkhoo says:

No discrimination against workers by nationality under the UN Human Rights Chapter, only BN government allows our workers and foreign workers to be exploited for past 54 years.

Muar furniture manufacturers are either to buck up with the world-class competitiveness or shut down and move to other countries where cheaper labor is abundant.

Their presence in Muar is too bad to environment and no benefiting local people in term of employment.

aizat says:

Johoreans got no worry about minium wage as job is plenty in Singapore (1 SingDollar = 2.5x Ringgit Malaysia):

http://sg.finance.yahoo.com/news/sg-job-vacancy-jumped-4-062000975.html

nkkhoo says:

Not just Johoreans are benefiting from the plenty of jobs on Singapore.

Most Malaysian Chinese working in SG are non-Johoreans.

Anabelle says:

I support minimum wage but not the way it was implemented by the BN government who is reactive after seeing Indonesia and Thailand have done so. The SME will suffer because of the sudden decision on this as there has never been any scheme to help them to improve productivity or go automation to lessen labour dependence all these years. I guess BN has no capability to do so as its civil service is bloated and thus labour intensive despite privatisation.

nkkhoo says:

If you do not know the subject, it’s better to shut up. What you do not know does not mean non-exist.

This is a typical trait of empty tank kind of PR hardcore supporter.

My job nature in the productivity and quality consulting services should make me a qualified person to reveal the truth in SMIs.

There are many government sponsored loans and grants for SMIs to improve productivity and quality since 20 years ago. Unfortunately, there are very few takers from SMIs.

Go check out Malaysia SMI Corporation, MeDC and many government-related websites to find out the loan and grant schemes details.

MCA did conduct seminars to help SMIs on how and where to get loans and grants from the government.

What I have seen is the middlemen cohorted with local SMIs to cheat free money from the government. The free grants for SMIs normally are stolen, not used in the intended purposes.

SMIs themselves have to be blamed for inaction to improve productivity and quality like SMIs in China and Japan.

Anyway, corruption in the public services is also partly to be blamed for public fund leakage.

Anabelle says:

SMEs are not aware of the schemes you mention primarily because consultants like you (middleman?) are charging too high and scare them off?? FMM also think so.

Maybe this is now your opportunity to provide your service to your Muar furniture manufaturers?

Just because I disagree with BN does not mean I am PR supporter. Sad to see that a ‘prominent’ blogger like you choose to make assumptions like this all the time.

nkkhoo says:

SMEs do not know about the loans and grants schemes? Are you kidding? They signed on the agreement prepared by BN middlemen and shared the free money.

Do you think I can be a middleman? I hope so, but unfortunately I do not know how to polish BN and PR politicians in power.

I have never providing services to local SMIs except one from a friend.

Local SMIs can pay foreign consultants with huge fees, they have never complained fee issue except to expect we local consultants be paid with peanuts.

Do you expect local consultants and engineers to be paid like foreign workers?

When you against BN or PR with empty talking, you are qualified as PR or BN hardcore supporter.

I only use this indicator to mark a reader who is opposing for the sake of opposing.

First, you claim no loan and grant schemes for SMEs. A bullshit.

Second, you claim SMEs unaware of such schemes. Another bullshit.

Stop writing such bullshits in my blog again, I will delete it for non-value added comment.

Anabelle says:

I belong to the 3rd force!!!!

nkkhoo says:

I only judge a reader from his/her comment.

It’s fine for me if you want to claim as a 3rd force, but let be an informed one, not the empty talker and mad one like BN and PR hardcore supporters.

A type of person I worry most is he/she does not know what he/she does not know. In other word is called sheer ignorance.