PETALING JAYA: One month is too short for employers to digest the proposed guidelines for the Progressive Wage Policy which will be released in May, and move into the implementation stage in June.
The employers, especially those from the small and medium enterprises, need more time to understand the new concept, says SME Association of Malaysia president Ding Hong Sing.
“Employers are still trying to recover from the economic downturn. Now, we have to quickly understand the concept and then implement it in June.
“We hope the government will give more time for employers who are interested to get clarification on the guideline before starting on the pilot project,” he said.
Ding hoped the ministry would consider suggestions by stakeholders at an engagement session with the ministry, adding the focus should be on improving the country’s economy before going forward with the new wage policy.
Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) president Tan Sri Low Kian Chuan agreed, saying an extra month would be ideal.
Malay Chambers of Commerce Malaysia (DPMM) secretary-general Ahmad Yazid Othman also said it was too short a notice to have the guideline in May.
Ahmad Yazid said training alone should not mean promotion and a wage increase, as training does not ensure more revenue.
“Businesses need more revenue to pay better salaries. The attempt to align competency with wages should be welcome but it is not a silver bullet.
“Businesses need more revenue internally and globally, before thinking of training their workforce,” he added.
Ahmad Yazid also felt the model should be compulsory for all medium and large companies.