Parliament passes EIS Bill

Parliament passes EIS Bill
The Star (Nation) – 26/10/2017

KUALA LUMPUR: The Employment Insurance System (EIS) Bill was passed in the Dewan Rakyat at midnight, after five hours of debate.
The new law allows for the creation of an insurance scheme for laid off employees to claim a portion of the insured salary for a period of between three and six months. Retrenched workers will also be entitled to early re-employment allowance, reduced income allowance, and training allowance.
The insurance scheme, to be administered by Socso, covers staff involved in a voluntary or mandatory separation scheme, or those made redundant due to business restructuring or closure. Most Opposition MPs had voiced their support for the Bill, but some posed conditions in doing so.
Shamsul Iskandar Mohd Akin (PKR - Bukit Katil) said he would support the Bill only if the Government also contributed to the scheme.
Meanwhile, Charles Santiago (DAP - Klang) asked to double the six-month maximum period for salary insurance to better protect employees. Datuk Hasbullah Osman (BN - Gerik) raised concerns on overlap in functions between the EIS and the Human Resources Development Fund (HRDF).
In his winding up speech, Human Resources Minister Datuk Seri Richard Riot explained that although the Government will not contribute to the EIS, it has allocated RM120mil towards the scheme. To another question by Santiago, Riot said even jobless workers, aged 40 to 50, will be given appropriate training through the system so they can be matched with other jobs.
He also explained that this training will not be combined with the present HRDF.

Parliament passes EIS Bill

Parliament passes EIS Bill
The Star (Nation) – 26/10/2017

KUALA LUMPUR: The Employment Insurance System (EIS) Bill was passed in the Dewan Rakyat at midnight, after five hours of debate.
The new law allows for the creation of an insurance scheme for laid off employees to claim a portion of the insured salary for a period of between three and six months. Retrenched workers will also be entitled to early re-employment allowance, reduced income allowance, and training allowance.
The insurance scheme, to be administered by Socso, covers staff involved in a voluntary or mandatory separation scheme, or those made redundant due to business restructuring or closure. Most Opposition MPs had voiced their support for the Bill, but some posed conditions in doing so.
Shamsul Iskandar Mohd Akin (PKR - Bukit Katil) said he would support the Bill only if the Government also contributed to the scheme.
Meanwhile, Charles Santiago (DAP - Klang) asked to double the six-month maximum period for salary insurance to better protect employees. Datuk Hasbullah Osman (BN - Gerik) raised concerns on overlap in functions between the EIS and the Human Resources Development Fund (HRDF).
In his winding up speech, Human Resources Minister Datuk Seri Richard Riot explained that although the Government will not contribute to the EIS, it has allocated RM120mil towards the scheme. To another question by Santiago, Riot said even jobless workers, aged 40 to 50, will be given appropriate training through the system so they can be matched with other jobs.
He also explained that this training will not be combined with the present HRDF.

Human Resources duly responded to queries from retrenched Malaysia Airlines staff
News Straits Times : 10/10/2017

KUALA LUMPUR: The Human Resources Ministry said it is not required by law to explain the delay in taking up the cases of 3,600 retrenched Malaysia Airlines staff to the Industrial Court.
Minister Datuk Seri Richard Riot Jaem nonetheless said that the ministry, through the Industrial Relations Department, had sent out letters to the affected workers explaining the situation. The letters, he said, had to date been sent to some 1,500 of the 3,600 laid-off unionised MAS staff.
"That to me is sufficient as a response…we're not required by law to give an explanation," he told reporters after opening the ASEAN Productivity-Linked Wage Conference here today.
Riot also noted that MAS was no longer in existence and as the company had wound up, the ministry could not go after it.
Last month, the National Union of Flight Attendants Malaysia questioned why it took the ministry two years to decide not to refer the cases of 3,600 retrenched MAS workers to the Industrial Court. Queried on this matter, department director-general Khalid Jali said this was due to a moratorium on the transition of MAS to Malaysia Airlines Berhad (MAB) which had been in place. It ended on May 24, 2017.
On the conference, he said it was important for companies in ASEAN, especially Malaysia, to adopt the Productivity-Linked Wage System (PLWS) to increase growth and productivity. Riot said more than 81,000 companies in Malaysia had to date adopted the system involving 3.7 million employees.
He hoped that recommendations made at the one-day conference would be communicated to the ASEAN Senior Labour Officials Meeting scheduled for May 2018. Themed ‘Enhancing Wage Structure that Promotes Wealth Creation and Wealth Sharing’, the conference organised by the ministry saw the participation of 250 senior officials from ASEAN countries as well as representatives from Japan, China and South Korea. -- Bernama

 

 

 

 

 

 

 

 

 

New Minimum Wage Policy For East Malaysia To Be Ready By 2018

New Minimum Wage Policy For East Malaysia To Be Ready By 2018
The Sun Daily (News Without Borders) : 12/10/2017

PUTRAJAYA: A new minimum wage policy will be finalised by mid-2018 to bridge the income gap between the Peninsula and East Malaysia to address the high cost of living in Sabah and Sarawak.

Human Resource Minister Datuk Seri Richard Riot said the newly appointed National Wage Consultative Council have already started its review of the 2016 Minimum Wage Order.

Riot said the median wage is based on employers' capability and capacity to pay wages to their employees."That is why the minimum wage in East Malaysia is lower than West Malaysia," he told reporters after the handover of credentials to newly appointed members of the council.Currently, the minimum wage in the peninsular is RM1,000 and RM920 in East Malaysia which was announced in Budget 2016 and implemented on July 1 last year.

Riot said the government has tried to narrow down the income gap between the regions in the last two wage reviews. "It is my hope to streamline the income gap whereby both east and west Malaysia will have a standard income one day," he said.

Earlier in his speech, he said the National Wage Consultative Council 2011 Act has stipulated that the Minimum Wage Order should be reviewed at least once every two years.

Riot handed over appointment letters to 25 new members of the council. This is also the first time that two members from Sabah and Sarawak respectively were appointed to the council.

The members will hold office for three years until September 2020 to study, review and advise the government on minimum wages for private sector employees.

"I hope with their appointment, workers in East Malaysia will have better representation," he said.

12/10/2017- New Minimum Wage Policy For East Malaysia To Be Ready By 2018

New Minimum Wage Policy For East Malaysia To Be Ready By 2018
The Sun Daily (News Without Borders) : 12/10/2017

PUTRAJAYA: A new minimum wage policy will be finalised by mid-2018 to bridge the income gap between the Peninsula and East Malaysia to address the high cost of living in Sabah and Sarawak.

Human Resource Minister Datuk Seri Richard Riot said the newly appointed National Wage Consultative Council have already started its review of the 2016 Minimum Wage Order.

Riot said the median wage is based on employers' capability and capacity to pay wages to their employees."That is why the minimum wage in East Malaysia is lower than West Malaysia," he told reporters after the handover of credentials to newly appointed members of the council.Currently, the minimum wage in the peninsular is RM1,000 and RM920 in East Malaysia which was announced in Budget 2016 and implemented on July 1 last year.

Riot said the government has tried to narrow down the income gap between the regions in the last two wage reviews. "It is my hope to streamline the income gap whereby both east and west Malaysia will have a standard income one day," he said.

Earlier in his speech, he said the National Wage Consultative Council 2011 Act has stipulated that the Minimum Wage Order should be reviewed at least once every two years.

Riot handed over appointment letters to 25 new members of the council. This is also the first time that two members from Sabah and Sarawak respectively were appointed to the council.

The members will hold office for three years until September 2020 to study, review and advise the government on minimum wages for private sector employees.

"I hope with their appointment, workers in East Malaysia will have better representation," he said.

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