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Some Employers Still Aren’t Paying Workers The RM1,700 Minimum Wage

Instead of paying fines, it’s better to pay the minimum wage to employees. - JTKSM
Despite the Minimum Wage Order of RM1,700 being in effect since February 1, some employers continue to flout the law, leaving workers shortchanged.

The Department of Labour Peninsular Malaysia (JTKSM) has recently discovered that 35 security companies across the country are still failing to comply with the new wage regulation.

These employers have been paying their employees a base salary of RM1,500, well below the legally mandated RM1,700, or in some cases, offering overtime payments to make up for the difference.

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authorities doing their duties
Photo via MalaysiaGazette

This violation has not gone unnoticed, with numerous complaints pouring in from employees who feel the injustice firsthand.

A wake-up call for employers

Kamal Pardi, Director-General of JTKSM, warned that employers who continue to breach the Minimum Wage Order could face fines under the National Wages Consultative Council Act 2011 (Act 732).

That’s why today we conducted a joint operation to inspect 35 security companies nationwide, and we found that some companies are still paying the old minimum wage rate of RM1,500 per month or RM2,000 more, including overtime,”

This inspection, carried out by JTKSM in Ayer Keroh, is part of a broader effort to ensure that employers comply with the law and pay their employees the fair wage they deserve.

According to MalaysiaGazette, Kamal stressed that companies must adhere to the RM1,700 minimum wage and settle any outstanding wages from March and April.

man counting ringgit
For illustration purposes only. Photo via Canva

Unsettled violations and fines imposed

Since last year, JTKSM has been actively investigating companies for various violations. In fact, between last year and March of this year, the department opened 456 investigation cases, addressing issues such as those under the Employment Act 1955, the Minimum Standards of Housing, Accommodation, and Amenities Act 1990 (Act 446), and the Minimum Wage Order.

In addition to these investigations, JTKSM has imposed nearly 700 fines and penalties on employers, amounting to over RM2 million. Kamal’s message to employers is clear: “Instead of paying fines, it’s better to pay the minimum wage to employees.”

What do you think about this? Share your thoughts with us in the comment section.

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