Showing posts with label Minimum Wage. Show all posts
Showing posts with label Minimum Wage. Show all posts

Wednesday, March 27, 2013

National Wages Council has NO power to allow employers delay paying migrant workers minimum wages...


National Wages Consultative Council have got no power (and/or authority) to delay migrant workers right to receive Minimum Wages... Let us look at the NATIONAL WAGES CONSULTATIVE COUNCIL ACT 2011 (Act 732) - NWCC is to consult, analyze...make recommendations and give advice to the government... (see section 4 of the Act)

Yes, the NWCC makes recommendations - and then the power lies with the Government through Minister(Minister of Human Resources) who can agree with the recommendations... or NOT. The government can also not listen at all to the NWCC and come up with their own decision.

Section 22 Council To Make Recomendations 

 (1) Based on the actions taken under section 21, the Council shall, at such time as the Minister may determine, make a recommendation to the Government through the Minister on the following matters:
(a) the minimum wages rates;
(b) the coverage of the recommended minimum wages rates according to sectors, types of employment and regional areas;
(c) the non-application of the recommended minimum wages rates and coverage to any sectors, types of employment and regional areas or to any person or class of persons;
(d) the commencement of the minimum wages order and the different dates for the commencement of the minimum wages order to different sectors, types of employment and regional areas, or to different persons or class of persons; and
(e) other matters relating to the minimum wages, including the implementation of the recommended minimum wages rates and coverage.
(2) The Government may, after considering the recommendation-
(a) agree with the recommendation; or
(b) direct the Council to review the recommendation within the period as the Government may determine and make a fresh recommendation.
(3) Where the Government directs the Council to review the recommendation and make a fresh recommendation under paragraph (2)(b), section 21 and subsection (1) shall apply.
(4) The Government may, after considering the fresh recommendation made pursuant to subsection (3)-
(a) agree with the fresh recommendation; or
(b) disagree with the fresh recommendation and determine the matters specified in paragraphs (1)(a) to (e).

After, this there must be an ORDER ...


Section 23 - Minimum Wages Order

(1) Where the Government agrees with the recommendation of the Council under paragraph 22(2)(a) or 22(4)(a) or determines the matters under paragraph 22(4)(b), the Minister shall, by notification in the Gazette, make a minimum wages order on the matters specified in paragraphs 22(1)(a) to (e) as agreed to or determined by the Government.
(2) The Minister may, upon the direction of the Government, by notification in the Gazette, amend or revoke the minimum wages order.

Section 24 - Effect of a Minimum Wages Order


(1) For the purpose of this section, "contract of service" includes the collective agreement made under section 14 of the Industrial Relations Act 1967 [Act 177].
(2) Where the rates of the basic wages agreed in a contract of service is lower than the minimum wages rates as specified in the minimum wages order, the rates shall be substituted with any rates not lower than the minimum wages rates as specified in the minimum wages order.
(3) Where the rates of the basic wages agreed in a contract of service is higher than the minimum wages rates as specified in the minimum wages order, the rates shall not be reduced to any rates lower than the rates of the basic wages agreed in the contract of service.
(4) Nothing in this section shall be construed as preventing an employer and an employee from agreeing to any rates of the basic wages which are higher than the minimum wages rates as specified in the minimum wages order.

I went and visited the Ministry of Human Resources website - and discovered that there is NO new Minimum Wages Order.

The last document there was a Media Statement of Wages Consultative Council (Kenyataan Akhbar Urus Setia Majlis Perundingan Gaji Negara)
This got me thinking. What is a government advisory - make recommendation body doing by issuing such statements - which is confusing everybody including employers and workers.. They have no business making such a statement...[That media statement was dated 20/2/2013 - and I believe that they even got the date wrong for I believe that it should possibly be 20/3/2013 considering when the media reports came out.]

This is not the first time that they have confused matters, the last time they came out with Guidelines On The Implementation Of The Minimum Wages Order 2012 which again caused confusion. Remember, that when we talk about minimum wage - we are talking about basic wage, not including overtime, other allowances and remuneration benefits. We shall not go into this for the moment.

Now, if employers who were required to pay minimum wages in January 2013 did not do this, the committed an OFFENCE. All employers with more than 5 employees, unless they were given more time vide Minimum Wages (Amendment) Order 2012 dated 28/12/2013 which was very clear which employer was given the right to delay payment of minimum wages in January 2013. The names of the employers are there...

What is the penalty for not paying Minimum Wages...



Section 43 Offence


An employer who fails to pay the basic wages as specified in the minimum wages order to his employees commits an offence and shall, on conviction, be liable to a fine of not more than ten thousand ringgit for each employee.


Not a good penalty at all - it could even be RM1 per employee, supporting the perception that this government is pro-employer and anti-worker. It would have been better, if a minimum fine per employee was also stipulated - i.e. maybe RM1,000 per employee...

So, we know that there are employers that have committed the offence, and what we would all like to know is how many employers have been charged with this offence? The offence has already been committed - hopefully this government do not give them some sort of 'amnesty' and do not even prosecute and convict them for their offence...Hopefully not

After the first Minimum Wages Order 2012 dated 16/7/2013, employers had the opportunity to go appeal - and many did and in 28/12/2013, we saw that many were given a DELAY as to when they will start paying their workers Minimum Wage. Workers were cheated... and promise was broken at the very last minute when they already were expecting Minimum Wages in January 2013? 

Did our Prime Minister apologize to the workers affected? I did not see any such apology from the government... In fact, all expressed concern seem to be about the 'predicament' of employers - not at all the continued suffering of workers being paid wages so low... in an environment where cost of living has certainly gone up, many of which was caused directly or indirectly by this government.

Finally fixing a minimum wage for workers in Malaysia was GOOD and JUST, and for that the government need to be applauded despite the fact that it took so many years after the government became aware of the fact in 2009 that millions of workers were receiving very low wages - below the poverty line income.

CAN THEY DELAY THE PAYMENT FOR MIGRANT WORKERS, WHEN LOCAL WORKERS OF THE SAME EMPLOYER IS ALREADY ENJOYING THE RIGHT TO MINIMUM WAGES? 
 My answer would be NO - as it goes against even our Federal Constitution. Until the Federal Constitution is amended, you cannot discriminate against a worker - just because he/she is not a Malaysian Citizen. Section 60L of Employment Act 1955 is also clear about this. No discrimination by employers on the grounds that the worker is a foreigner...





 

 

Senator Syed Shahir : Malaysia Must Keep Its Promise To Workers Made In July 2012 - Stop Discriminating Workers, Including Migrant Workers



PRESS STATEMENT - 26/3/2013
by
Senator Syed Shahir bin Syed Mohamud advisor to the National Union of   Transport Equipment and Allied Industries Workers. 

MALAYSIA MUST KEEP ITS PROMISE TO WORKERS MADE IN JULY 2012

STOP DISCRIMINATING WORKERS, INCLUDING MIGRANT WORKERS


 
All workers in Malaysia must be entitled to receive Minimum Wages, and a delay of this right to migrant workers as stated in the media report entitled ‘SMEs may defer minimum wages for foreign workers until Dec 31’(New Straits Times, 20/3/2013) is unacceptable. The said report referred to a statement from the National Wages Consultative Council. The pronouncement certainly goes against the spirit of the Section 60(L) of Employment Act, 1955 that clearly  against any form of discrimination amongst workers, based on whether one is a local worker or a migrant worker. It also goes against the core principle of the International Labour Organisation (ILO) that is against any form of discrimination in respect of employment, and Article 23(2) of the UN Declaration of Human Rights that clearly states that “Everyone, without any discrimination, has the right to equal pay for equal work.”

The Malaysian government’s earlier declared position was that all workers, including migrant workers (foreign workers) were entitled to minimum wages was correct, but now if this right be delayed it will be wrong, unjust and discriminatory. 

When the Malaysian government decided to transfer the obligation of paying levy from employers to migrant workers, it reversed the policy behind the very introduction of levy, which was to deter employers hiring foreigners rather than local workers, and protect employment opportunities of the local worker. The move to now allow employers who pay migrant workers minimum wages to again deduct wages to recover the levy was strongly criticized by many quarters. 82 groups including the Malaysian Trade Union Congress (MTUC) vide a statement ‘Minimum Wages for All Workers, Including Migrant Workers - No to Wage Deduction to recover Levy Payable by Employers – issued also by me on 5/2/2013. It defeats the very intention of introducing minimum wages, if employers are allowed to remove pre-existing benefits or make new wage deductions.

Vide Minimum Wages Order 2012 dated 16 July 2012, the Malaysian government promised Malaysian workers minimum wages in January 2013, save for workers with employers with 5 or less workers who were to receive minimum wages by July 2013. Then, on 28 December 2012, vide Minimum Wages (Amendment) Order 2012, promises to workers were broken when over 600 listed employers were permitted to pay their workers minimum wages at a later date, being April, July or even October 2013. The latest breach of promise is when employers, categorized as Small Medium Enterprises(SME) were allowed to delay payment of minimum wages to their migrant workers until December 2013.

There really is no justification for allowing medium enterprises that is defined as businesses having a ‘sales turnover between RM10 million and RM25million OR full time employees between 51 and 150’, that also falls within the definition of SMEs any delay in paying their workers, including migrant workers, minimum wages as of January 2013. 

Further, it must be pointed out that there is still no Order issued by the Minister that has been gazette, and as such these SMEs still have to pay all their workers, including migrant workers minimum wages from January unless they are employers given special exemption vide the 28th December Order, or they are employers with 5 or less employees. 

If workers were already entitled to receive minimum wages in January 2013, it would be wrong to try and extinguish that right by some later gazetted Order. Even if there be such an Order, which would be blatantly unjust, employers must still pay the minimum wages from January 2013 until such an Order comes into being.

In the New Straits Times Report, the National Wages Consultative Council(NWCC) was reported saying that employers ‘…would be given blanket approval for deductions of levy and cost of accommodation..’, which are matters that are not only beyond the mandate of the NWCC but are also settled by law. Permissible wage deductions are explicitly stated, and as an example, for deductions like cost of accommodation, the legal requirement is that there must be a request in writing by the individual employee, and thereafter a special permission of the Director General of Human Resources. If the worker disagrees or do not make such a request, there can be no such wage deduction.

After a migrant worker has agreed to come to Malaysia and work usually for about 5 years, and/or is already here working here, it is very wrong and unjust to suddenly impose additional and new liabilities on the migrant worker especially when it affects income. Any new liabilities should be imposed only on migrant workers yet to have agreed to come to work in Malaysia.

I call on the Malaysian government, whose 2012 Merdeka Day slogan was ‘Janji DiTepati’ (Promises Kept) to adhere to its promises made to all workers, including migrant workers in Malaysia and ensure that the promised minimum wages are received at the time as promised on 16th July 2012. Malaysians believe in justice and equality, and there should be no discrimination of workers by the government. All workers, including migrant workers must be treated equally especially when it comes to wages – including minimum wages.  

Shah Alam, Selangor; 26th March, 2013.




Monday, March 11, 2013

Did Guan Eng say that minimum wages under PR would only be for Malaysians not migrant workers? Please do clarify

Totally disappointing (if correctly reported by Malaysian Insider) for a Pakatan Rakyat leader to say that migrant workers may not be entitled to minimum wages under PR. The intention may be to woo voters to vote for PR but it is very wrong because it is unjust. All workers are entitled to equal pay and equal rights as workers, and that includes migrant workers. 

Remember that even when the current BN government recently tried to impose the obligation to pay levy on migrant workers removing that obligation from employers of migrants. Malaysians, including workers and the MTUC, rightfully protested this unjust move - 82 Groups - MINIMUM WAGES FOR ALL WORKERS, INCLUDING MIGRANT WORKERS - No to Wage Deduction to recover Levy Payable By Employers -

The Malaysian Insider report was in Malay, so a rough translation of relevant paragraphs in the said news report is included in the report attached below.

I hope that the worker leaders in Pakatan Rakyat, and Pakatan Rakyat immediately come and clarify their position to ensure all Malaysians and others that if and when they do rule, they will not practice discrimination against migrant workers...

I truly hope that it was a case of mis-reporting, and we will soon get some clarification from Guan Eng and Pakatan Rakyat. What Malaysians want is justice and human rights in Malaysia - certainly no discrimination against workers based on their nationality..
  

Gaji minimum PR untuk rakyat Malaysia, tidak libat warga asing, kata Guan Eng

[PR's minimum wage for Malaysian citizens, not involve migrant workers, says Guan Eng]

Oleh Mohd Farhan Darwis
March 08, 2013


KUALA LUMPUR, 8 Mac — Gaji minimum RM1,100 yang akan dilaksanakan kerajaan Pakatan Rakyat (PR) hanya akan melibatkan rakyat Malaysia, tanpa mengambil kitra pekerja asing, kata Setiausaha Agung DAP Lim Guan Eng.
[ Rough English Translation:- The minimum wage of RM1,100 that will be implemented by the Pakatan Rakyat(PR) government will only involve Malaysian citizens, without tahing into account migrant workers, said the Secretary General of DAP Lim Guan Eng. ]

Guan Eng (gambar) berkata, tidak seperti dasar gaji minimum RM900 kerajaan Barisan Nasional (BN), cadangan PR itu lebih mengutamakan rakyat kerana dasar gaji minimum BN itu turut merangkumi pekerja asing di negara ini.
[ Rough English Translation:- Guan Eng(picture) said, that unlike the RM900 minimum wage policy of the Barisan Nasional(BN), PR's proposal will prioritize citizens as the BN minimum wage policy also includes migrant workers in this country.]

“Hanya BN mahu membantu pekerja asing ... agar pekerja asing dapat menikmati tahap gaji yang sama dengan pekerja Malaysia,” kata Guan Eng ketika berucap dalam Majlis Menandatangani Perjanjian Kolektif dengan syarikat pengurusan air Pulau Pinang, di Hotel Traders di sana.
[ Rough English Translation:- "Only BN wants to help migrant workers...so that migrant workers enjoy wage rates same as Malaysian workers. " said Guan Eng whilst speaking at Collective Agreement Signing ceremony with the Pulau Pinang Water Management company, at Hotel Traders there.]

“Mungkin BN mahu jaga pekerja asing kerana mengharapkan orang asing akan menyokong mereka ... Itulah sebabnya gaji minima yang dicadangkan oleh PR bertindak adil kepada pekerja Malaysia bukan seperti BN yang lebih mementingkan pekerja asing,” katanya dalam ucapan berkenaan yang diperolehi The Malaysian Insider.
 [Rough English Translation:- "Maybe BN wants to protect migrant workers because they hope that foreigners will support them...That is why the minimum wage proposed by PR will act justly for Malaysian workers not like the BN that places more importance on migrant workers, " he said in his speech that was obtained by The Malaysian Insider.]

Pelaksanaan gaji minimum dijangka akan memanfaatkan tiga juta pekerja secara langsung.
[Rough English Translation:- The implementation of the minimum wage will directly benefit 3 million workers]
 
Kementerian Sumber Manusia sebelum ini berkata pelaksanaan gaji minimum akan berkuatkuasa yang akan berkuatkuasa mulai 1 Januari 2013.

Daripada jumlah itu hanya 600 dari 4,200 majikan dibenarkan menangguhkan pelaksanaan gaji minimum tersebut.

Pengumuman gaji minimum bagi sektor swasta dibuat Perdana Menteri Datuk Seri Najib Razak pada 30 April dan diwartakan pada 16 Julai lepas.

Perintah gaji minimum 2012 pula berkuat kuasa pada 1 Januari 2013 dan kadarnya akan dikaji semula setiap dua tahun.

Keputusan untuk menguatkuasakan pelaksanaan gaji minimum itu adalah mandatori dan kerajaan menetapkan gaji minimum pekerja swasta ialah RM900 di Semenanjung dan RM800 di Sabah, Sarawak dan Labuan. - Malaysian Insider, 8/3/2013, Gaji minimum PR untuk rakyat Malaysia, tidak libat warga asing, kata Guan Eng

Sunday, March 10, 2013

PM is living in another Malaysia - RM100,000 houses are affordable houses for workers?

SIME DARBY, a GLC[Government Linked Company] is building ' affordable houses for its current and former workers. Sime Darby wanted to charge RM120,000 and the Prime Minister announced that the price will be lowered to RM100,000.

The minimum wage is RM900-00, and after deductions for Employees Provident Fund and Social Security, it will be lesser - and this means that it will take these workers utilizing all their wages about 10 years or more to pay for these houses, if they were not paying any interest for their housing loans. [Remember that there were about 34% of Malaysian workers were earning RM700 and less in 2009 before the implementation of the Minimum Wage]

Affordable Houses - certainly these are not affordable houses for workers in Malaysia - maybe only for the high-income workers. The workers for whom Sime Darby is building these 'affordable houses' is most likely plantation workers or former plantation workers - surely they would not be able to afford such homes UNLESS if Sime Darby is giving them FREE Houses - which would be JUST considering the contributions of these workers to the company, which also included willingness to receive low wages and suffer hardships that come with low pay whilst the company prospered...

The comments are based on the report below....

Put employees’ welfare first, PM tells GLCs


KLANG: Prime Minister Datuk Seri Najib Razak yesterday urged government-linked companies (GLCs) and their private counterparts to put the welfare of their employees before profit.

"When the welfare of an employee is looked after, he would be loyal and be productive to his company.

"The contribution of employees to the growth of any company should not be taken lightly," he said before launching plantation giant Sime Darby's affordable houses for its current and former workers in Pulau Carey here yesterday.

He lauded Sime Darby's initiative in putting the welfare of its workers before profit.

Earlier, Sime Darby chairman Tan Sri Samsudin Osman announced that the houses, in the basic built, will cost RM120,000 each.


Najib later announced that the price will instead be only RM100,000, as he had urged Sime Darby to lower it to recognise the contributions of its workers.

The prime minister's announcement was met with a huge round of applause from the crowds.

According to Najib, a country's wealth should be distributed evenly.

"We do not want all the riches to be enjoyed by only one group - like in the (United States of) America, where one per cent of Americans control 40 per cent of the country's wealth," said Najib.

Such unbalanced distribution of wealth, he added, will not affect a country socially but its competitiveness in the long run.

Najib said political stability and social security is important to ensure prosperity.

"As we speak, our security forces are defending us from enemies in Lahad Datu, Sabah.

"We should all support our security forces and thank them. Not only them, but the government that affords the security as well," he said.- Business Times, 9/3/2013,
Put employees’ welfare first, PM tells GLCs

Tuesday, February 19, 2013

About 500 workers at computer components factory in Senai Johor protest

About 500 workers picketed at a factory producing computer parts in Senai, Johor. It is common for the media generally not to report on such protest especially when it involves workers and other marginalised people, but thankfully Sinar Harian did report.
 
The protest was concerning minimum wages of RM900 that workers in Peninsular Malaysia were to receive beginning January 2013, and what should be increased to RM900 is the basic wages (normal working hours, 8 hours per day), and not including overtime, other allowances and benefits.
 
From the report, it is alleged that the employer seem to have arbitrarily increased normal working hours from 44 to 48 hours, and this means that workers who did work extra hours, say 48 hours instead of 44 hours, who would have got overtime pay for 4 hours a week, about 16 hours a month, whereby the rate of pay for overtime is generally one half the ordinary rate of pay. No employer can unilaterally increase working hours, or change any expressed/implied term of the employment agreement, without the explicit consent of the workers.

It is also alleged that previously they could take home around RM1,500 with overtime and other allowances, but now their pay have been 're-structured' and there are various deductions - and after now their take home is lesser. 

But, the question is what is Ministry of Human Resources going to do about it? Why do they even have to wait until workers go on picket or protest? Should there not be on-going inspections by the Ministry to ensure workers are not being cheated of their rights? 

Workers in Malaysia on short-term employment contracts, rather than regular employment until retirement are even more vulnerable and are afraid to claim rights. Workers supplied by outsourcing companies (contractors for labour) are in even more precarious position for they work in factories that are not their employer - and, so easily can they lose their factory job, and given the fact all these 'contractors for labour' do not work of their own that need workers, loss of factory job means effectively loss of employment. A strike of employees of a factory will 'pressure' their employer to negotiate and settle the dispute with their employees. But, a strike of employees of a contractor for labour will have no such effect - after all they do not have any factory, business, plantation that needs employees to return to work failing which they are losing money....
 
Hopefully, when the Opposition Pakatan Rakyat comes out with its Election Manifesto, the fundamental concerns of workers in Malaysia will be there:- (1) Abolish the Contractor for Labour System; (2) Ensure worker are regular employees until retirement - abolish short-term employment contracts

Pekerja kilang mogok kerana masalah gaji
Wartawan Sinar Harian
19 Februari 2013
Pekerja kilang mogok kerana masalah gaji
Suzana (kiri) dan rakannya menunjukkan notis yang dikeluarkan mengenai pelaksanaan gaji minimum RM900 bermula 1 Januari.
 
 
Pekerja kilang mogok kerana masalah gaji
Kira-kira 500 pekerja kilang memulakan mogok sejak dari jam 8 pagi, semalam.

SENAI – Kira-kira 500 pekerja kilang pengeluar komponen komputer Kawasan Perindustrian Senai di sini melancarkan mogok mengenai isu penyelarasan gaji asas minimum RM900 yang ditetapkan kerajaan awal Januari lalu kerana mendakwa ia diputarbelitkan pihak syarikat.

Salah seorang pekerja, Suzana Ismail, 41, berkata, pihak pengurusan mengeluarkan notis bertarikh 10 Januari lalu bahawa kilang itu akan melaksanakan penyelarasan gaji minimum sebanyak RM900 bermula 1 Januari lalu.

Bagaimanapun katanya, penyelarasan gaji tidak dilaksanakan sebaliknya gaji yang diterima pekerja bagi bulan Januari berkurangan.

“Sebelum penyelarasan gaji dilaksanakan kami mampu meraih pendapatan melebihi RM1,500 termasuk bayaran kerja lebih masa.

“Tetapi selepas penyelarasan dibuat, gaji tetap kami bukan sahaja tidak dinaikkan kepada RM900 malah terdapat pelbagai potongan dilakukan,” katanya.

Lebih  mengecewakan,  elaun kerja lebih masa dipotong bagi menampung jumlah jam bekerja yang  ditukar dari 44 jam kepada 48 jam seminggu tanpa notis awal.

“Kami  bertanya mengapa bayaran kerja lebih masa dipotong, mereka memberitahu itu dikira sebagai tempoh asal waktu bekerja bagi melengkapkan jumlah 48 jam.

“Kami tidak berpuashati dengan situasi ini sedangkan sebelum ini waktu bekerja kami dikira lapan jam sehari tetapi ia tiba-tiba ditukar menjadi 7.33 jam selepas penyelarasan gaji baru dilaksanakan.

“Malah kami juga tidak dimaklumkan lebih awal mengenai perubahan waktu bekerja dari 44 jam kepada 48 jam,” katanya.

Katanya, mogok akan terus dilakukan sehingga pihak syarikat memberi jaminan bertulis kepada setiap pekerja bahawa gaji asas mereka akan dinaikkan kepada RM900 tidak termasuk elaun atau bayaran kerja lebih masa.

“Masalah ini  dikemukakan kepada Jabatan Tenaga Kerja (JTK) dan berharap nasib kami dibela,” katanya.

Selain itu, seorang pekerja warga asing, Sabir Aalam, 23, berkata, selepas penyelarasan dakwanya kekal menerima gaji asas yang sama seperti sebelumnya iaitu RM319 dan hanya menerima gaji RM900 setelah dicampur elaun dan bayaran kerja lebih masa.

“Gaji asas rakan-rakan saya yang bekerja di kilang lain sudah pun dinaikkan kepada RM900, malah mereka menerima gaji melebihi RM1,500 kerana terdapat bayaran kerja lebih masa.

“Saya juga melakukan kerja lebih masa dalam jumlah yang sama namun hanya menerima gaji keseluruhan kira-kira RM900 kerana gaji asas tidak dinaikkan,” katanya.

Dalam pada itu, wakil pengurusan kilang itu yang enggan dikenali berkata, pihak syarikat telah berusaha mematuhi arahan penyelarasan gaji minimum RM900 dengan membuat pembayaran gaji secara pukul rata (lum sum).

“Pihak syarikat sudah melaksanakan penyelarasan gaji minimum sebanyak RM900 seperti diarahkan kerajaan melalui pembayaran gaji secara lum sum termasuk elaun dan bayaran lebih masa.

“Pekerja yang sudah bekerja lebih sepuluh tahun juga akan menerima penyelarasan sama kerana kami tidak dapat membuat perubahan penyelarasan dalam jumlah yang besar kerana operasi kilang yang kecil,” katanya.

Sementara itu, Exco Perpaduan, Sumber Manusia, Sains Teknologi dan Inovasi Negeri, M Asojan, pihak JTK dan Jabatan Perhubungan Perusahaan (JPP) telah ke kilang itu semalam bagi menyiasat masalah yang berlaku.

“Siasatan ini akan disambung semula esok (hari ini) sebelum laporan lengkap dan tindakan lanjut diambil bagi mengatasi masalah ini.

“Setakat ini mogok yang dilancarkan pekerja berjaya disuraikan dan mereka telah bekerja seperti biasa sejak tengah hari tadi (semalam),” katanya.

Selain itu katanya, pihak majikan dan pekerja perlu memahami mekanisme penyelarasan gaji minimum yang baru supaya masalah yang timbul tidak berlarutan.- Sinar Harian, 19/2/2013, Pekerja kilang mogok kerana masalah gaji

Sunday, February 10, 2013

Electrical Industry Workers' Union(EIWU) makes it 79 :-MINIMUM WAGES FOR ALL WORKERS, INCLUDING MIGRANT WORKERS - No to Wage Deduction to recover Levy Payable By Employers -



Joint Statement- 5/2/2013 (now 79)

MINIMUM WAGES FOR ALL WORKERS, INCLUDING MIGRANT WORKERS
- No to Wage Deduction to recover Levy Payable By Employers -

We, the undersigned 79 civil society organizations, trade unions and groups are shocked with the recent decision of the Malaysian cabinet on 30/1/2013 to allow employers of migrant workers to recover levy that they paid the government to employ foreign workers from migrant workers through wage deductions. 

According to the law, workers in Malaysia were to receive minimum wages of RM900[USD291](for Peninsular Malaysia) and RM800[USD259] (for Sabah and Sarawak) as of 1/1/2013. Khalid Atan, the President of the Malaysian Trade Union Congress(MTUC) said, “…if workers were asked to pay the levy, the minimum wages policy would not benefit them at all, as whatever little increase in salary they enjoyed, would be wiped out with the levy payment…” [Star, 10/1/2013, MTUC: Don't give in to employers' demand on foreign workers levy]

Some employers have also been trying to avoid this obligation to pay minimum wages, which is basic wages not inclusive overtime, existing allowances and other benefits. Some do it by re-structuring worker remuneration by including all other allowances, incentives and benefits to make up the RM900, which is very wrong. Some employers are making employees to sign documents agreeing to these changes, whereby this is made easier when there are no worker unions. Workers generally have no avenue of complaint, or even choice in the matter especially when many now are employed based on short-term employment contract. A refusal by the worker means a non-renewal or no new employment contracts when their contracts expire.

To avoid paying workers minimum wages, the Malaysian government also allowed employers the right to apply for a delay in paying workers minimum wages, and vide Minimum Wages(Amendment) Order 2012 dated 28/12/2012, the government allowed more than 500 employers to delay paying workers minimum wages. What was blatantly wrong in this process was that the aggrieved workers and/or their unions were not given any right to be heard before the employer’s application to deny them their entitlement to minimum wages was approved.

The Malaysian government, in the past, on the application of certain employers, allowed them to make wage deductions and/or wage advances, contrary to the general provisions in law with the intention to allow employers to recover from migrant workers monies expended by employers to get migrant workers to Malaysia to work for them. This included sometimes not just a means to recover levy paid, but also all other costs incurred by employers to recruit and bring in migrant workers. Approvals were given by the government with no consultation or agreement of the worker or their unions. As of 1/4/2009, the Malaysian government stopped this practice, and made it clear that it is employers that have to pay the levy and they cannot recover the said sum from migrant workers.

Labour Director-General Datuk Ismail Abdul Rahim was reported saying that, “…The rationale behind getting employers to bear the levy was to discourage them from employing foreigners…” [Star, 16/4/2009, Employers can deduct levy from wages, again]. As such, this current move to make migrant workers pay the levy removes the very intention of levy, i.e. to discourage employers from employing foreign workers. 

The reason for the new decision ‘… is to alleviate the hiring cost for employers, said Finance Minister II Datuk Seri Ahmad Husni Hanadzlah...’ [Star, 30/1/2013, Cabinet: Foreign workers to pay levy instead of employers with immediate effect]. If the Malaysian government now wants to reduce the financial burden of employers who hire migrant workers, then rightfully the government should reduce or remove the levy – not shift the burden to workers. 

Migrant workers sacrifice a lot when they elect to come to Malaysia to work. They have to leave behind the spouses, children, family and friends for Malaysian law allows them to only come alone and work in Malaysia, and they also are barred from falling in love and getting married during their employment period  which is usually for at least 5 years. They also end up incurring substantial debt when they come, for they have to pay, amongst others recruitment agents, most times these payments include both legal and ‘illegal’ payments. Whilst in Malaysia, they are bound to just one employer – having no right to change employers. 

When they claim rights, even through existing legal avenues, they generally are terminated and their employment pass/permits are also cancelled depriving them the right to stay (or work) legally in Malaysia until their claims are resolved. The termination of these passes/permits is done by the Malaysian government irrespective of whether there are outstanding claims or pending cases concerning the said worker’s rights. 

This precarious reality of migrant workers makes them vulnerable to exploitation by some employers, knowing that it is most easy to violate worker rights and then get off scot free. Until laws and policies are amended to protect migrant’s worker rights, naturally migrant workers become the preferred choice over local workers as they are certainly a more easily exploited class of workers.

We call on the Malaysian government to immediately rescind the decision made by the Malaysian cabinet on Wednesday(30/1/2013) to allow employers of migrant workers to recover the levy they pay the government by deduction of wages of migrant workers.

We take the position that all workers, including migrant workers, are entitled to receive minimum wages, whereby this is the basic wage and should not include allowances, benefits and other work incentives. Employers should not be permitted to remove pre-April 2012 worker entitlements and benefits, being the date the Minimum Wage Order 2012 came into force, from existing and subsequent employment contracts.

We call on the Malaysian government to end all forms of discrimination against workers, with regard to, amongst others, their nationality, gender, duration of their employment contracts.


Charles Hector
Pranom Somwong
Syed Shahir Syed Mohamud

For and on behalf the 79  groups listed:

ALIRAN
Angkatan Rakyat Muda Parti Rakyat Malaysia (ARM-PRM)
Asian Migrant Centre (AMC), Hong Kong 
Asian Migrants Coordinating Body (AMCB) Hong Kong
Asia Monitor Resource Centre, Hong Kong
Asia Pacific Forum on Women, Law And Development (APWLD)
Asia Pacific Mission For Migrants (APMM ), Hong Kong
Association of Indonesian Migrant Worker in Hong Kong (ATKI-HK)
Bangladeshi Ovibashi Mohila Sramik Association (BOMSA)
Burma Campaign Malaysia
BWI (Building and Wood Worker's International)
CAW (Committee for Asian Women)
Centre for Human Rights and Development-Sri Lanka
Center for Orang  Asli Concerns (COAC), Malaysia
CEREAL - Centro de Reflexión y Acción Laboral – Guadalajara, Mexico
Clean Clothes Campaign( CCC )
Community Action Network (CAN), Malaysia
Community Development Services, Sri Lanka
COVA (Confederation of Voluntary Associations), India
Electronic Industry Employees Union Western Region (EIEUWR), Malaysia
Far East Overseas Nepalese Association (FEONA), Hong Kong
Filipino Migrant Workers Union (FMWU)
GoodElectronics Network
Human Rights Ambassador for Salem-News.com
IMA Research Foundation, Bangladesh
International Domestic Workers Network
Kesatuan Pekerja-Pekerja Polyplastics Asia Pacific Sdn Bhd.
Kesatuan Pekerja-Pekerja MHS Aviation Berhad
Kesatuan Sekerja Industri Elektronik Wilayah Selatan (EIEUSR), Malaysia
LSCW (Legal Support for Children and Women), Cambodia
MADPET (Malaysians Against Death Penalty and Torture)
Malaysia Youth & Students Democratic Movement (DEMA)
MAP Foundation, Thailand
Migrant Domestic Workers Trust, India
Migrant Forum, India
Migrant Health Association in Korea
MIGRANTE International
Mindanao Migrants Center for Empowering Actions, Inc. (MMCEAI)
Mission For Migrant Workers - Hong Kong
MTUC (Malaysian Trade Union Congress)
Myanmar Ethnic Rohingyas Human Rights Organization Malaysia (MERHROM)
National Domestic Workers Movement, India
National Union of Transport Equipment & Allied Industries Workers (NUTEAIW)
Network of Action for Migrants in Malaysia (NAMM)
NLD-LA (National League for Democracy-Liberated Areas), Malaysia
NUBE (National Union of Banking Employees), Malaysia
OKUP (Ovibashi Karmi Unnayan Program) in Bangladesh
Parti Rakyat Malaysia(PRM)
Paper & Paper Products Manufacturing Employees' Union Of Malaysia (PPPMEU)
 Persatuan  Sahabat  Wanita, Selangor
Persatuan  Kesedaran Komuniti Selangor (EMPOWER)
Persatuan Masyarakat Selangor & Wilayah Persekutuan (PERMAS)
PILAR (United Indonesians in Hong Kong against Overcharging) , Hong Kong
Pusat KOMAS (KOMAS)
Saya Anak Bangsa Malaysia {SABM}
SUARAM, Malaysia
Tamilnadu Domestic Workers Union, India
Tamilnadu Domestic Workers Welfare Trust, India
Tenaganita, Malaysia
Transient Workers Count Too (TWC2), Singapore
United for Foreign Domestic Workers' Rights (UFDWR )
WAC, Philippines
WARBE Development Foundation-Bangladesh
Women Workers Lead
WH4C – Workers Hub For Change
Yayasan LINTAS NUSA - Batam – Indonesia

Solidaritas Perempuan (SP) / Women's Solidarity for Human Rights, Indonesia
SEWA (Self Employed Women’s Association), India
Electronic Industry Employees Union Eastern  Region(EIEUER), Malaysia[KSIEWTSM]  
MakeITFair
Nepal Labour Journalists' Association
Migrant  Care, Indonesia
CIMS (Centre for Indian Migrant's Studies)
United Filipinos in Hong Kong (UNIFIL-MIGRANTE-HK)
Kav LaOved – Protecting Workers' Rights
PINAY: Filipino Women's Organization in Quebec
Tenaga National Berhad Junior Officers Union (TNBJOU)

New Endorsements (after 77)
Electrical Industry Workers' Union(EIWU), Malaysia
Malaysian Physicians for Social Responsibility