By Author 
KUALA LUMPUR, March 4 — Prime Minister Datuk Seri Anwar Ibrahim said today that companies reporting significant profits must ensure their workers receive fair wages, amidst private sector resistance to the official implementation of the Minimum Wage Order (MWO) in February.
Speaking at the Dewan Rakyat, Anwar said challenges remained in the private sector despite the positive reception to public sector wage increases.
He noted a gap where productivity gains were not matched by wage increases, exacerbating the effects of inflation if workers’ wages remained stagnant.
“As such, companies reporting significant profits have been asked to pay higher wages.
“I, along with other ministers, have discussed with these profit-making companies to be fair, as it is not right for them to make excessively high profits while workers’ wages remain inadequate,” he said.
Anwar was responding to a supplementary question from Pendang MP Datuk Awang Hashim on measures taken by the federal government to raise private sector workers’ wages, especially those in manufacturing, amidst the rising cost of living.
Apart from the minimum wage, Anwar said the federal government had also introduced a progressive wage scheme.
“We have to admit that high-achieving companies should emulate this practice, and I am firm on this.
“However, there is no legislative power to compel private companies, since they are private enterprises, to implement the scheme.
“But we have started this moral suasion, particularly with government-linked investment companies.
“GLICs such as Petronas, Tenaga Nasional Bhd, and Telekom Malaysia, which employ hundreds of thousands of workers, are setting an example by paying above the minimum wage, more than RM2,000,” he said.
As for small and medium enterprises still struggling to cope with the increased wage order, Anwar acknowledged their plight and said government agencies were available to provide the necessary capital, expertise, and training to upskill them.
The MWO applies to employers with five or more workers and professional sector employers regardless of workforce size.
For businesses with fewer than five employees, the new rate will take effect on August 1, allowing time for necessary adjustments in wage structures and operations.
Employers must comply with the new order to ensure their workers receive at least RM1,700 per month.