The council to be set up under the proposed National Wage Consultative Council Bill must be autonomous and independent from the government, said an opposition MP.

The new bill, which is to replace the Salary Determination Council Act 1947, is expected to be tabled, debated and passed at next week’s Parliament sitting.

The council, once approved by the House, is to coordinate and determine the minimum wage for private sector workers to overcome the hike in living costs following the recent subsidy rationalisation.

klscah launch civil society award 191207 charles santiago “However, first of all, we want it to be called the National Decent Living Wage Council instead,” said Klang DAP MP Charles Santiago ( right ).

The reason, he said, is that the earnings of a high percentage of Malaysians are below the poverty line and minimum wages could be determined from that basis.

This is on top of the call to ensure that the council is independent and free from the government’s leash, he added.

“The government here has a way of ensuring, in the end, that they have the final say, and is usually biased towards the employers,” said Charles.

“The World Bank report states that 34 percent of the workers in the country are earning an average of RM700 per month which is below the poverty line of RM720,” he said.

He pointed out that the working class has been burdened with stagnant wages for at least the past decade, with wages going up by just 2.6 percent between 2000 and 2010.

Looking ahead, Charles called for a consultation group of experts from the Philippines, Indonesia, Thailand and South Korea to draw up a proposal to determine “decent living wages” as an immediate measure to help the working class.

Council to have the last word

“The parties sitting on the council should be representative of the employers, workers and independ appointments.

“The council will then forward their proposals to the government, which if agreeable, will be implemented. If the government does not agree, it can send them back to the council for a second round of negotiations, but the council has the last word,” he said.

He explained that a decent living wage is divided into three key components - food, non-food and savings.

This mechanism has been successful implemented in the Philippines and Indonesia.

After the mechanism proposed is finalised tomorrow, Charles said that the Decent Living Wages Campaign will be flagged off.

“We all talk of combating corruption but for the man-on-the-street they are thinking of how to pay their bills.

“They need a solution tonight, so that they can put food on the table for their family in the morning. Some take on two to three jobs in order to earn enough,” he added.

Charles reiterated that a “decent living wage” proposal should include a minimum wage of between RM1,500 and RM2,000 for the working class.