Job ads: Unionist slams employers' reluctance to disclose salary

In the ongoing debate over whether employers should be required to disclose salaries offered in job adverts, a veteran Sarawak unionist has taken aim against employers' groups for their objections.

Sarawak Bank Employees Union president Andrew Lo said employers' reluctance to disclose the salary that comes with the job being advertised confirms that the starting salary for graduates is low.

"(Fresh graduate salary is) as low as RM1,500 per month, which is actually minimum wage.

"Their reasoning is self-contradictory and fully self-serving," Lo (above) said in a statement today.

The debate started after Economy Minister Rafizi Ramli commented on starting salaries for new graduates, saying that they had dropped to as low as RM1,500 a month, virtually equivalent to the pay of an unskilled worker.

Putra Business School's Ahmeed Razman Abul Latiff then suggested that public and private sector employers be made to disclose salary rates in employment ads to counter the exploitation of graduates in the job market.

Malaysian International Chamber of Commerce and Industry president Christina Tee objected, saying that such a policy would mean that wages become inflexible rather than being market-driven.

Lo called it “amusing” for business groups to claim that revealing salaries stiffs competition.

“It should actually increase competition and promote a free market.

"What they are really concerned about is that it may enable more competitive salaries, and give rise to an increase in wages," he said.

Lo criticised Tee's claim that mandatory disclosure of salaries offered may lead to job seekers only focusing on the highest-paying jobs and overlooking those that are a better fit.

Tee also argued that the move would give rise to wage inflation if companies constantly try to outbid each other in competition for talent.

Lo pointed out that wages are already at a level that is below productivity and inflation.

"It can only mean that they want to prevent job seekers from shopping around for the best offer.

"In the final analysis, revealing starting salaries is in line with our policy to increase wages to a level that matches our aspirations to be a high-income nation and that the wage share of GDP does not remain at the miserable 32 percent," he added.

Data violation?

Lo challenged Malaysian Employers Federation president Syed Hussain Syed Husman who cited privacy concerns over revealing confidential data.

"Just how this can be seen as employer data violation is beyond comprehension. It is an employee's inherent right to disclose his own salary if he so chooses or when required, such as when applying for loans.

"Are they saying that displaying prices of goods at shops and businesses also violates their business information and discretion to set prices?" he asked.

Earlier this month, Prime Minister Anwar Ibrahim said that the government plans to provide funds to help raise employee salaries in an effort to help ease the people’s burden.

He said the matter was discussed in the cabinet after taking into account there were companies that made profits of up to RM1 billion but did not increase their workers’ wages.

“With the cost of living and inflation, even though it is low, it still burdens the people.

“Therefore, we have made a proposal and are in the final stages of the study, because we cannot force the companies to raise worker wages, but can use mechanisms such as the minimum wage," he added.

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