In light of the new RM2,208 poverty line, the Congress of Unions of Employees in the Public and Civil Services (Cuepacs) has urged Putrajaya to review the minimum wage.

In a statement today, Cuepacs president Adnan Mat noted that current starting salaries for many private and public sector employees begin at a mere RM1,200.

“If we compare this to the new poverty line income, we can say that the minimum wage in Malaysia is under the line [...]

“Cuepacs is of the view that the government should review the minimum wage for workers in the country, especially when it comes to setting the minimum wage based on the poverty line,” he said.

Adnan also urged public servants to perceive the new poverty line as a “challenge” to improve their service to the rakyat.

“As the backbone of the government administration, we, the public servants, must work together to ensure that the people’s welfare and quality of life can be successfully improved,” he said.

Earlier today, the Department of Statistics announced that the national Poverty Line Income (PLI) had been revised from RM980 to RM2,208.

The latest figure was based on its 2019 methodology, which factored in current needs including optimal food intake and quality non-food basic requirements.

Published today, the Household Income and Basic Amenities Survey Report said it used the Multidimensional Poverty Index and Relative Poverty Index to measure poverty.

The department found that absolute poverty had improved from 7.6 percent in 2016 to 5.6 percent in 2019. Hardcore poverty had also improved from 0.6 percent four years ago to 0.4 percent last year.

Last week, former UN special rapporteur on extreme poverty and human rights Philip Alston (above) claimed that the Perikatan Nasional government was backtracking on Pakatan Harapan’s commitment to revising the national poverty line.

In response, Minister in the Prime Minister’s Department (Economy) Mustapa Mohamed said the government had updated its mechanism to more accurately determine the national poverty rate and PLI.

Alston made headlines last year for suggesting that the real poverty rate in Malaysia was about 15 percent, much higher than the official 0.4 percent.