KESUMA presents first reading of National Wages Consultative Council (Amendment) Bill 2024 in Parliament

This amendment aims to ensure that apprentice contract workers in Malaysia will receive the same salary as the current minimum wage, helping improve their income.

Malaysia’s Ministry of Human Resources (KESUMA) is introducing new measures that aim to create a more comprehensive and progressive social safety net for workers, as announced on Tuesday (15 October 2024).

In a media statement, the ministry said that since the introduction of the Minimum Wage Order in 2013, it is not mandatory for apprentice contract workers to be paid the minimum wage. This arises from the interpretation of 'service contracts' under Section 2 of the National Wage Consultative Council Act 2011 [Act 732], which does not classify apprenticeship contracts under service contracts.

To address this and in a bid to ensure all private sector workers get their rights and due protection, KESUMA presented the National Wage Consultation Council (Amendment) Bill 2024 for its first reading in the Dewan Rakyat on Tuesday. The amendment redefines service contracts to include apprenticeship contracts, adjusted according to Section 2of the Employment Act 1955 [Act 265], Sabah Labour Ordinance [Chapter 67], and Sarawak Labour Ordinance [Chapter 76].

Through this amendment, apprentice contract workers will receive the same salary as the current minimum wage, helping ensure fairer and more dignified pay.

READ MORE: Malaysia's unemployment rate falls to 3.2% in August 2024