Tuesday, June 26, 2007

PM to MTUC: Resolve wage issue through negotiations

ROME : Prime Minister Datuk Seri Abdullah Ahmad Badawi today advised the Malaysian Trade Union Congress (MTUC) to pursue its call for minimum wage and higher allowance through negotiations and not by any action that could be damaging to workers. He said employers were now concerned about the high cost of labour and could use that excuse to relocate their business to other countries.

"Investors intending to come to Malaysia may think twice about the cost of manpower (if that cost is high in Malaysia)," he told Malaysian journalists accompanying him on his visit to Italy, reports Bernama. Abdullah has been here since Sunday (June 24) for a three-day official visit to Italy to strengthen bilateral relations, particularly in trade and agriculture.

He was asked to comment on MTUC's demand for legislation to set a minimum wage of RM900 and cost-of-living allowance of RM300 per month for private sector employees. MTUC staged a nationwide picket yesterday to press for its demand after giving the government one week to respond to a memorandum it submitted to the Prime Minister's Office (on June 18).

It is seeking an amendment to the Employment Act 1955 to set the minimum wage and higher allowance. More than 1,000 private sector employees picketed for about an hour from 5pm near the Employees Provident Fund building on Jalan Raja Laut in Kuala Lumpur. Similar pickets were also held in several states, including Selangor, Penang, Perak, Malacca, Johor, Negri Sembilan and Sarawak.

Abdullah said MTUC should also consider the wages of foreign workers. "Will the decision encompass the wages of foreign workers or are the foreign workers prepared to accept the current wages without any increase?" he asked. He said there will be competition with Malaysian workers if the foreign workers were prepared to accept the current wages without any increase.

Abdullah said he would ask Human Resources Minister Datuk Seri Dr Fong Chan Onn to provide him with a comprehensive report on MTUC's demand. In SEREMBAN, Fong said it was improper of MTUC to have staged the picket because the ministry held dialogues with the congress at least once a month to enable it to raise issues. "I have explained to MTUC several times that the government is sensitive to the need for workers to be paid reasonable and fair wages.

"The Wages Council Act provides for the government to set up wage councils to study and determine the wages and work conditions if it is found that workers in certain sectors are not getting proper remuneration," he told reporters after officiating at the ground-breaking ceremony for the new Seremban office of the Social Security Organisation. Fong said over the last two years, the government had set up seven wage councils to determine fair wages for employees in certain sectors.

"The government is serious and committed in looking after the welfare of workers in the country. We are with MTUC. We want workers to be paid reasonable wages. We do not want even a single worker being exploited. Therefore, I ask MTUC to negotiate in the matter."

Source : The Sun

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