1.1 Research Background
The global economic crisis has had devastating consequences on
(Benton 2010) Mr. Patton, the situation in Malaysia is not looking good. “In 1997 Malaysia was hit by the Asian financial crisis.” One of the most effected areas was the manufacturing sector. “In order to rescue some of the largest state-owned companies, the government has imposed several strict trade barriers on certain goods. Included under law in these protected goods are the steel billets, the raw material for use in the downstream steel industry.” The government has also put into effect new labor policies for both domestic and foreign labor in order to protect the domestic workers.…
Any form of cheating or attempt to cheat is a serious offence which may lead to…
analysis of level relationship, and this test suggested that the all variables in functional form…
Minimum wage policy will lead to surging unemployment, “black market” labour and inflationary pressure, employers and economists have warned. Datuk Seri Najib Razak announced on Monday a base wage of RM900 for the peninsula and RM800 in Sabah and Sarawak with a grace period of six months, or doubles that for micro-enterprises. “When employers refuse to hire at the minimum wage, desperate workers will look to the black market and agree to take less than that,” said Wan Saiful Wan Jan, chief executive of libertarian think-tank Institute for Democracy and Economic Affairs. The government began working on a minimum wage policy last year after over a decade of pressure from labour unions during which productivity rose by 6.7 per cent annually but real wages inched up by just 2.6 per cent each year. Malaysian Employers Federation executive director Shamsuddin Bardan also said that in some cases, such as plantation workers in Sabah, a minimum wage of RM800 would double salaries. “On top of that, if Najib wins elections as expected, subsidy cuts will resume. In the end there will be very little positive impact for workers,” said Hafiz Noor Shams, an economist at a leading investment bank. Shamsuddin suggested instead that instead of “using the force of law,” the government should incentivize both employers and employees to upgrade the skill base of the workforce. The Human Resources Ministry says three-quarters of the 12 million-strong workers are unskilled. When there are un skilled workers, there are hard to give them a high salaries. This is because. It take time to make them…
In 2004 to 2005 the supermarket industry generated a revenue of $54.8 billion with an increase of 2.8 percent compared to 2003-2004.(Ibisworld 2006) The supermarket industry generated a gross product of $6.0 billion with an increase of 2.9 percent compared to 2003-2004. The total retail market for supermarket and grocery goods is estimated to be around $ 64 billion.(ibisworld 2006) According to Euromonitor international supermarket has the largest propotion of the total retailing sales in Australia in the year 2005.…
Generally, we can define minimum wage as a wage at a minimal level given by employers regardless any sectors, genders, qualifications, background and so on. According to the International Labour Organization (ILO), minimum wage may be understood to mean the minimum sum payable to a worker for work performed or services rendered, within a given period, whether calculated on the basis of time or output, which may not be reduced either by individual or collective agreement, which is guaranteed by law and which may be fixed in such a way as to cover the minimum needs of the worker and his or her family, in the light of national economic and social conditions.…
Examine the possible effects of implementing a minimum wage in Malaysia from a microeconomic perspective.…
Santiago, Charles. Lecture. Charles Santiago: What Went Wrong With The Malaysian Economy? Youtube. 23 July 2012. Web. 7 Mar. 2013. <https://www.youtube.com/watch?v=sY1OZEdVqQg>.…
First, this drastic rise will decrease foreign investment in Indonesia. Before investing their capital, foreign companies must make sure the ratio of productivity to labor cost beneficial for them. With this drastic wages rise, the production cost will grow significantly. If initially labor cost takes 30% from total production cost, with 70% of increment, production cost will escalate about 21%. Not to mention payment of work insurance (10.89% from minimum salary), religion holiday allowance (minimal 1x minimum monthly salary) and overtime work cost which is also adjusted to minimum salary. Meanwhile, productivity and efficiency of Indonesian workers is still low. According to World Economy Forum Global Competitiveness Report 2012-2013, Indonesia is ranked 120 from 144 countries for labor efficiency. Low productivity accompanied by drastic increment in production cost will create uncomfortable environment for foreign investors. This condition can push massive relocation of foreign investments to other countries with lower labor cost. The relocation will cause huge loss in economy since foreign investment can motorize economic development and creates millions of jobs.…
This assignment is to discuss the importance of the Macroeconomics Objectives towards the Malaysia economic performance. There are four main Macroeconomics Objectives, but in this assignment I will be explaining any three Macroeconomics Objectives, such as Unemployment, Inflation and Economic Growth with relevant example.…
References: Abubakar, Syarisa Yanti. 1999. “Migrant Labour in Malaysia: Impacts and Implications of the Asian Economic Crisis.” Paper presented at the ISEAS-World Bank Workshop on the Social Impact of the Asian Crisis, June 30, at the Institute of Southeast Asian Studies, Singapore. Ariff, Mohamed, and Syarisa Yanti Abubakar. 1999. “Post-crisis Reforms and International Cooperation: The Case of Malaysia,” Paper presented at the Conference on Southeast Asian Trade and Economics: Domestic Reforms and International Cooperation, March 4–6, at the East-West Center, Honolulu. Ariff, Momamed, et al. 1998. Currency Turmoil and the Malaysian Economy: Genesis, Prognosis and Response. Kuala Lumpur: Malaysian Institute of Economic Research. Athukorala, Premachandra. 1998. “Swimming against the Tide: Crisis Management in Malaysia,” ASEAN Economic Bulletin 15, no. 3: 281–89. Chin, T. S. 1999. “Two Approaches to Restructuring.” Edge (Kuala Lumpur), May 3: 12– 13. Lopez, L. 1999. “After Controls, Malaysia’s Focus Blurs.” Asian Wall Street Journal, June 17: 1 and 10. Malaysia, Prime Minister’s Department, Economic Planning Unit (Malaysia, EPU). 1999. “White Paper—The Status of the Malaysian Economy.” Paper tabled at the Malaysian Parliament on April 6. Malaysian Institute of Economic Research (MIER). 1999a. Malaysian Economic Outlook 1999–2000. Kuala Lumpur: Malaysian Institute of Economic Research. ———. 1999b. Currency Control Measures Survey Results. Kuala Lumpur: Malaysian Institute of Economic Research. Saker, Neil. 1999. “High-Quality Growth Expected,” Edge (Kuala Lumpur), April 19: 12.…
Calzati, F. (2013, July 29). RETAIL INDUSTRY - 5 PORTER FORCES. Retrieved from RETAIL INDUSTRY - 5 PORTER FORCES: http://www.businessdatascreener.com/industries/porter-5-forces/retail…
With reference to newspaper article by Liz Lee titled ‘Minimum Wage could kill SMEs’, the author writes about the dangers or implementing minimum wage. However, the author only focuses on the down side of minimum wage towards SMEs and not on the benefits of it in the long run.…
References: 1. Abd.Latif, M. 1993. Effects of age and height of three bamboo species on their…
This paper will investigate on the need and the effectiveness of the yet to be minimum wage bill among security guards, cleaners with its current value of RM720. The idea of having a national minimum wage in Malaysia has been proposed more than 12 years ago by the Malaysian Trades Union Congress (MTUC), when Tun Mahatir was still the Prime Minister, and has been continuously rejected, until more recently, the current prime minister, Datuk Seri Najib has stated in the Malaysia Budget 2011 speech “Businesses must embrace the minimum wage as a business strategy”.…