HUMAN Resources Minister Steven Sim Chee Keong has called on the private sector to emulate the government’s efforts to enhance employee wages, following the introduction of the Public Service Remuneration System (SSPA). The system, expected to have a positive economic impact, has been welcomed by Sim as a significant step forward.
In a statement, Sim pointed out the importance of companies acknowledging their employees’ productivity and contributions by improving wages.
“I urge the private sector to follow the government’s move in improving employees’ wages as a means to appreciate their productivity and contributions to the company,” said the minister.
Sim also encouraged businesses to engage in the ongoing progressive wage policy pilot project. He mentioned that the Human Resources Ministry has received proposals from the National Wage Consultative Council regarding a new minimum wage and is preparing to present these recommendations to the Cabinet.
Echoing Prime Minister Datuk Seri Anwar Ibrahim, Sim urged profitable companies to reassess their salary structures to offer fairer compensation to their workers. Anwar had previously highlighted that the public service wage reform was intended as a signal to private firms to enhance wages to ease financial pressures on employees.
Communications Minister Fahmi Fadzil also commented on the SSPA, noting that its implementation on Dec 1 would mark a significant shift in public sector remuneration.
“The implementation of the SSPA beginning Dec 1 will see a significant shift as it not only focuses on wages but also performance.
“Following this, increments and promotions will be based on performance,” he told reporters after the 19th Majlis Amanat Perdana Perkhidmatan Awam (Mappa) held at the Putrajaya International Convention Centre on Thursday (Aug 15).
Fahmi stressed the importance of integrity in the public service, reflecting Anwar’s warning that department heads who shield officers violating rules will face consequences.
Furthermore, Fahmi mentioned the government’s RM50 mil incentive for the progressive wage policy project, which aims to gradually raise wages. He also indicated that efforts are underway to standardise the minimum wage across both the public and private sectors.
“This will gradually see their wages increase. I have also been made to understand that the minimum wage is being studied and will be standardised not only across the public but also the private sector.” – Aug 16, 2024
