PUTRAJAYA: The Cabinet has decided to temporarily shelve the implementation of the new minimum salary for security guards, scheduled for July 1, to give time to the industry to streamline operations, the Human Resource Ministry said.
It said in a statement Sunday that the postponement was made following a request from the Security Services Association of Malaysia.
After the announcement on the implementation of the minimum salary on July 1, the ministry was informed by the association that the new salary would have implications on the business of the employers, especially existing contracts, it said.
The statement said that after considering the appeal by the association, the Cabinet decided to defer the implementation of the new minimum salary for security guards.
On April 22, Minister Datuk Dr S. Subramaniam announced an increase in the take-home pay of between 67%and 75% for security guards beginning July 1.
The increase would benefit more than 150,000 security guards who are expected to take home monthly between RM1,000 and RM1,450, including overtime pay and allowances.
Dr Subramaniam was reported to have said that the minimum salary for workers in the security service sector was now between RM300 and RM400 a month.
After the announcement on the minimum salary, the association asked the Government to postpone implementation to Jan 1 next year.
Association president Datuk Shaheen Mirza Habib was reported to have said that the postponement was necessary to prevent 300 bumiputera security service companies in the country from winding up.
He said employers required at least six months to resolve problems involving service contracts with private firms, government-linked companies and the Government. - Bernama
Source : The Star, Published: Sunday June 13, 2010
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