After founder becomes billionaire, 99 Speedmart reacts to 'low wages' claim

After becoming Malaysia’s biggest initial public offering (IPO) in the past seven years and its founder hitting billionaire status, 99 Speed Mart Retail Holdings Bhd (99 Speedmart) has courted flak over the wages it offers.

In defence, its chief operating officer, Yong Eng Kwang, who described the wages as fair, said it was in full compliance with the Employment (Amendment) Act 2022.

Arguing that there are unique challenges and conditions in the minimarket sector, he said these differences must be taken into account when comparisons are made with other industries.

“Under the Employment (Amendment) Act 2022, the national minimum wage is set at RM1,500 per month.

“This assured that 99 Speedmart not only meets this legal requirement, but in fact, we pay more than that,” he said in a statement, according to New Straits Times.

Comprehensive benefits package

He was responding to netizens who questioned the wages, with some asking in a sarcastic manner if the IPO would lead to a bump in salaries.

It was claimed that 99 Speedmart branch managers, particularly, earn an average of RM2,387 a month.

Yong explained that 99 Speedmart offers a comprehensive benefits package, which includes annual salary increments, year-end bonuses, access to panel clinics with claimable medical visits, career growth and training opportunities, a free SIM card with 40GB of data and unlimited calls, and free food vouchers.

He added that there is also overtime compensation.

“Staff who request to work extra hours are paid overtime and it is done by agreement between both parties,” he said, adding that 99 Speedmart operates from 10am to 10pm.

Job vacancy ad from 2020

Yong also said that the post on a vacancy circulating online was from 2020 and does not reflect the current situation where some long-service branch managers earn more than RM4,000 a month.

“Today, for example, some of our long-serving branch managers earn over RM4,000 a month, which we believe is fair compensation for their dedication and hard work.

“Our employees are the backbone of 99 Speedmart, and we are committed to their well-being.

“We also understand the financial pressures many people are under these days, which is why we work tirelessly to keep our prices low, ensuring that essential goods remain affordable for everyone,” he added.

A job advertisement posted online two days ago hiring for 99 Speedmart branches in Semenyih, Bangi and Kajang states that the basic salary offered for a branch manager is RM2,750 a month, while it is RM2,400 and RM1,800 for assistant branch manager and supervisor respectively.

This does not include overtime pay, statutory contributions, medical coverage at a panel clinic and perks like fast food vouchers upon confirmation, the advertisement read.

Applicants must be Malaysians aged 18 and above who have at least a tertiary diploma.

99 Speed Mart weighs SEA expansion plans

'We are L&M Mart, not KK Mart'