Employers reminded to comply laws on minimum wage

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KOTAKINABALU: The Sabah Labour Department has urged all employers to comply with the laws on minimum wage.

Its director, Kamal Pardi, yesterday said that effective January 1, this year, the Minimum Wage (Amendment) Order 2018 has set a uniform minimum wage rate throughout the country of RM1,100 for monthly payroll employees and RM5.29 per hour for workers employed on an hourly basis.

He said strict legal action would be taken against any employer who do not comply with the labour laws and the Minimum Wage (Amendment) Order 2018.

“The failure of employers to comply with the Minimum Wage (Amendment) Order 2018, is an offence and will be liable to a fine not exceeding RM10,000 per employee.

“Employees who are not paid at the specified rate are required to make a report to any nearby Labour Office to enable us to take follow-up actions,” he added.

Last year, Kamal said 13 employers were charged and fines amounting to RM37,450 were imposed by the Magistrate’s Court for offences under the Payroll Consultative Council Act.

He said the department had conducted inspection of 7,136 employers and as many as 1,000 notices of compliance were issued for corrective action to be taken.

Through the enforcement operations, he said 234 investigative papers were opened and 91 investigative papers had obtained compound offers amounting to RM315,000 against the employers.

“The department has started conducting inspection activities against employers from early January and also ordered branch offices to carry out simultaneous operations at all districts in Sabah through its 15 branch offices twice a month.

“This operation not only focuses on protecting the rights of workers but to ensure that employers implement the Minimum Wage (Amendment) Order 2018 to enhance the well-being and goodwill in the industry.

“It is clear that the Minimum Wage (Amendment) Order 2018 applies to all local and non-resident employees, except domestic workers. Hence, employers are reminded to ensure compliance with the labour laws and regulations in the state of Sabah in order not to be subjected to legal action,” Kamal cautioned.