KUCHING: Raising individual wage rates are as important as implementing the necessary price controls to deal with the cost of living in the community.
Federal Economy Minister Mohd Rafizi Ramli pointed out that it was not enough to just rely on price control alone, but paying attention to the rakyat’s income was also needed.
“We cannot take a short cut by providing subsidies to lower the price of goods to deal with the cost of living.
“Prices of goods need to be maintained and stabilised in addition to being well controlled, at the same time, we need to make every effort to increase the people’s wage rate.
“If we pay attention to these matters, then we will be able to manage our cost of living issue better,” he said.
He said this during a press conference after attending the Engagement Session of the Half Term Review of the 12th Malaysia Plan with the Sarawak Government at Hilton Hotel here yesterday.
According to him, the government was currently considering and studying whether it could start moving towards a progressive salary policy.
He said this was to ensure that the wage increase is commensurate with the skills and economic needs for skilled workers, especially among young graduates.
For that, he added, the salary policy was given focus because previously the income rate was handed over 100 per cent to the market to determine the employee’s salary.
“Thus, the whole spectrum needs to be looked at not only at growth in terms of high-value sectors that are capable of creating high-value jobs, but also looking at the legal framework on how wages can be increased better.
“It has many components that need attention. If managed well, it is believed to be able to deal with the issue more effectively,” he said.
