On May 1, the RM1500 minimum wage system will be implemented!
The government would adopt the RM1,500 minimum wage system on May 1, 2022, according to Human Resources Minister Datuk Seri Saravanan’s statement. There will be no future extensions to this measure.
Saravanan stated that the government has given some leeway, which will be implemented first in government-linked companies and huge corporations. Businesses with less than five employees are free from the tax for the time being.
Many firms have asked the government to delay the implementation of the RM1500 minimum pay system, however the National Wage Consultative Council Act of 2011 requires that the minimum wage system be reviewed every two years.
The administration stated that satisfying all stakeholders, particularly employers, was challenging. Many businesses and employers are already planning to hike prices in reaction to the increased minimum wage. After May, it is widely believed that our country would experience a new round of price hikes.
