Picture credit to freepik

The Rise in the Minimum Wage

Hey. Minimum wage, a crucial and often debated labor policy, serves as a vital safety net for countless workers around the world. The government made an announcement that the minimum wage shall be increased to RM1500, effective May 2022. Since then, all prices went up like crazy, man! Then suddenly these retards postponed the effective date. So thanks to them, small income earners can suffer more. HAHA!

Good News for…
  1. Jobseekers. They can expect RM1500 as their starting salary. I saw a vacancy for a small kiosk, the salary offered was RM1500 EXCLUDING commission, guys. Waiters usually would get around RM1300-1500, but now the companies are offering RM1800 excluding OT.
  2. Current employees with salaries below RM1500. They too will finally get the increment they deserve. No more RM1200. How do they still live with that amount of money, anyway?
  3. The present employees with salaries of RM1500 and above. My friend told me that her employer will raise all the employees’ salaries because of the rise in the minimum wage. Their calculations are something like this:
    Current: RM1200
    New: RM1500
    Total increment: RM300

    So despite how much they are currently earning, she and other employees will also get an increment of RM300. She’s earning about RM2000, so it means that she will earn RM2300. I was told that’s indeed how it’s supposed to be because it’s fair and square for each employee.

Salary Inequality
Picture by vectorjuice
Not So Fair for Others

However, some of my friends also talked about how they’re not satisfied because their employers will not raise their salaries. The reason was that they are already earning the minimum or above the minimum wage. Well, who’s to blame? Of course, the government. Because they only talked about raising the minimum wage. Hence, it is not compulsory for the employers to increase the current employees’ salaries who are already earning RM1500 and above. Although some employees took probably a year or more working at that particular company to earn that amount of salary, their salary will be just the same as the new employees’. Nevertheless, if that’s the case, then it’s a really good opportunity for the employees to gain new experience somewhere else. Because they’ll still earn the same amount of salary.

Honestly, a lower cost of living is far more important than raising the minimum wage. With the price increase, I don’t think the rise in minimum wage will bring significant benefits. Because you’ll end up using the increment to pay for the expensive wants and needs.

Entahlah. Thanks for reading.

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