The BN Youth has criticised the RM1,100 minimum wage policy announced in the Pakatan Rakyat's shadow budget as "unrealistic", warning that it may destroy the economy.

NONE "The opposition's promise is unrealistic and will have a catastrophic effect on the economy... What is the use of minimum wage if the economy stalls?" asked its chief, Khairy Jamaluddin (left) , at a press conference in the Parliament lobby today.

The irony, he argued, is that the minimum wage policy is to help workers.

But if it is too high, as in the shadow budget, then companies may go belly-up and this would defeat the purpose.

This is because only issues detrimental to workers, like inflation and unemployment, will be the end result, he said.

Khairy labelled Pakatan as "brainless populists" whose irresponsible quest for popular support may ruin the economy.

NONE Hulu Selangor MP P Kamalanathan (left in photo) , who was also at the press conference, said BN's RM900 minimum wage policy was made after careful study by the National Wage Council and World Bank and not plucked out of the air.

He stressed that the BN government also made sure it consulted with stakeholders, who were represented in the National Wage Council.

"Their RM1,100, we want to know who they talked to and where they got it,” said the first-term parliamentarian.

SMIs against Pakatan proposal

Khairy and Kamalanathan were speaking after receiving a memorandum from the SMI Association of Malaysia, which wants BN MPs to ensure that Pakatan's proposal will not be implemented.

The NGO, which claims to represent small- and medium-scale businesses, was represented by its president Teh Kee Sin.

He said a quick survey of members has shown that many are not in agreement to a RM1,100 minimum wage.

"They do not support this proposal... If it is implemented many SMIs may go bust," warned Teh.

The minimum wage of RM1,100 was proposed in the Pakatan shadow budget released a day before the federal budget was announced by the premier and finance minister Najib Abdul Razak on Sept 28.

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