Employers who fail to pay minimum wage will face court action

Employers who fail to adhere to the Minimum Wage Policy which will take effect on July 1 will face court action.

Deputy Human Resources Minister Datuk Seri Ismail Abd Muttalib said under the National Wages Consultative Council Act 2011, employers who do not adhere to the policy could be fined RM10,000 and jailed five years or both.

He said under the Act, repeat offenders could also be fined up to RM10,000 for every worker.

"The new salary scheme will hopefully benefit the workers as there will be no more differences between local and foreign workers. All will have the same rights," he said.

He was speaking to reporters after a ceremony to hand over the new house keys to flood and fire victims at Kampung Lubuk Paku, Chenor, Friday.

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Ismail Mutalib said under the 2016 Budget, the government had set the new minimum salary for workers in Peninsular Malaysia at RM1,000 a month while for those in Sabah, Sarawak and Labuan, at RM920 a month.