Published: Thursday January 31, 2013 MYT 5:32:00 PM
Dr Subramaniam: Foreign workers shouldn't have issues paying levy
By P. ARUNA
BANGI: The issue of foreign workers not being able to afford the levy payment should not arise as their salaries will see a significant jump with the implementation of minimum wage.
Human Resources Minister Datuk Seri Dr S. Subramaniam, in a press conference Thursday, said workers will still gain between RM300 to RM400 each month despite monthly deductions for the levy.
"With the additional income that they get from working overtime and other benefits, we believe that (foreign) workers will not have a problem paying for the levy," he said, adding that the new ruling will also allow employers to save between RM100 to RM150 for each worker, each month.
It wad reported that the Cabinet had agreed to reinstate the 1992 ruling putting the burden of levy on foreign workers instead of their employers.
The decision is to be enforced with immediate effect on new foreign workers and those wishing to renew their work pass, employment pass or temporary work visit pass.
Finance Minister II Datuk Seri Ahmad Husni Hanadzlah who announced this, said the move was to reduce the employers cost of hiring foreign workers.
Dr Subramaniam added that the ministry was looking into requests from employer groups for the cost of accommodation and transport to be transferred to the foreign workers.
"We have not made a decision yet. We are still studying the possibility" he said after opening the three-day Unisamrat Student Leadership conference for Indian students here.
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