​Please be informed that MEF represented by the President, Tan Sri Azman Shah, Vice – President, Mr. A Ramadass, Council Member, Mr. Christopher Raj (President of AHE), En Rohizat (representative of MAH) and the ED met YB Minister of Human Resources on 24 September 2013 to discuss the above matter. 

At the said meeting, MEF proposed that the Minimum Wages Order 2012 be amended to incorporate the gist of the guidelines on the implementation of the minimum wages so as to enable the hotel sector employers to legally convert part or all of the service charges as part of basic wages. 

MEF was informed through a letter dated 3 October 2013 that MEF proposals cannot be implemented as sub-section 23(1) and sub-section 23(2) of NWCC Act must be read together to the effect that YB Minister of Human Resources may make amendments after being directed by the Government.  The Government can only issue directive or make a decision on the matter after considering the proposals of the NWCC. 

The said letter addressed to the President of MEF dated 3 October 2013 is enclosed herewith. 

Based on the provisions of the NWCC Act 2011, the Minimum Wages Order 2012 and the deferment granted to the hotel industry up to 30 September 2013, the hotel employers need to implement the minimum wages as stipulated in the Minimum Wages Order 2012 with effect from 1 October 2013.