To preserve 2.96 million local jobs, the government has disbursed RM20.63 billion (US$4.9 billion) in wages subsidies as of March 18 this year.
The bill, which was passed with a unanimous vote, would ensure women employees get enough rest and attract more women to enter the job market.
Malaysia’s new minimum wage rate of RM1,500 (US$357) will take effect on May 1, and is an increase of 25% from the previous minimum wage.
As the country moves into the endemic stage on April 1, employers will get to decide whether to continue work-from-home (WFH) or hybrid arrangements.
Job vacancies registered on the MyFutureJobs portal grew by 232.8% to 2,480,577 openings in 2021 compared to 745,304 in 2020.
By 2025, the government plans for SMEs to contribute 45% of GDP to the country, in line with the 12th Malaysia Plan, says the Prime Minister
Calling the increase "too much, too soon", industry associations urged the government to consider a gradual wage increase over three years instead.
The Employment (Amendment) Bill 2021 enhances protection against discrimination, safeguards well-being, and offers flexible work options for workers.
The minimum wage rate would apply to private sector companies nationwide that are employing a minimum of five workers.
An amendment to the Employment Act allowing three days of paid paternity leave was previously proposed, but the NGOs said that it was insufficient.
The minimum wage rate is slated to increase from RM1,200 to RM1,500 in the near future, said the human resource minister.
The minimum wage for workers in the country was last raised from RM1,100 to RM1,200 in February 2020, said the Malaysian Trades Union Congress.
The number of unemployed people fell from 687,600 persons in December 2021 to 680,400 in January this year, representing a 1.1% decrease.
Uncertainty over the pandemic’s effects on the economy and the high unemployment rate are likely to keep employees in their current jobs.
The Human Resource Ministry will set up a one-stop employment centre in each state in stages, said its minister Datuk Seri M Saravanan.
In January, 42,166 people found employment while 1,200 new jobs were created as the country targets to create 600,000 jobs this year.
The Employees Provident Fund is keen to see wages go upwards, but stresses that it must match with the availability of funds and the right way to do it.
In a first of its kind, the federal government will debate on an amendment Bill that could redefine the relationship of gig workers and tech companies.
As of February 18, a total of RM21.72 million has been channelled to 902 MSMEs under the Indian Community Entrepreneur Development Scheme.
Gig workers on the platform with existing EPF accounts can give their consent to opt into the programme and set their contribution rate.
Although the government is still discussing the minimum wage hike, some firms are already paying more than the minimum wage.
The RM40 billion (US$9.6 billion) SemarakNiaga Keluarga Malaysia programme is designed to create jobs and help businesses recover.
Despite the rollout of government work support initiatives, employers have been reluctant to offer decent salaries to potential workers.
The health ministry noted that the current infectious rate of COVID-19 in the country is higher, and most likely caused by the Omicron variant.
Foreign workers would send back the surplus of their salaries to their home countries, instead of spending their earnings in Malaysia, says employers group.
The Jamin Kerja Keluarga Malaysia initiative will create 600,000 jobs with a budget of RM4.8 billion (US$1.14 billion).
The number of jobs in the country reached 8.53 million jobs in the fourth quarter of 2021, the highest number recorded during the pandemic period.
The HR Ministry has been urged to focus on reforming labour laws to keep up with the gig economy and the reality of a post-pandemic age.
Employees have suffered as much as employers during the pandemic, said the Labour Law Reform Coalition.
The unemployment rate dropped to 4.2% in December from 4.3% in the previous month, the Department of Statistics Malaysia (DOSM) reported.