BNM Clarifies RM2,700 Is The Estimated Living Wage
The monthly income of RM2,700, which was published in Bank Negara Malaysia (BNM) 2017 Annual Report, referred to the estimated living wage for a single adult in the capital and not median income.
FactWatch.my, an initiative by BNM, clarified the concept of a living wage was different compared to minimum wage and did not displace the relevance of the current minimum wage, which is between RM920 and RM1,000.
It was stated that the living wage is a guide on the income required to meet the minimum of the acceptable living standard.
“In addition to meeting basic needs, the living wage also provides for a meaningful participation in society, the opportunity for personal and family development, and freedom from severe financial stress,” it said.
They hoped the guide would prompt employers to consider paying employees a better salary to meet the acceptable living standard, with attention to employee productivity.
They were responding to Malaysian Trades Union Congress (MTUC) Secretary-General J Solomon’s claim that BNM suggested RM2,700 as a median income for a single adult in the city.