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Article: ‘Low Contract Prices Causes Workers to Suffer

An article written by MACC President, Mr Noruddin Idris on the problem of low contract prices and its impact on the cleaning sector, was published in Utusan Malaysia in the Forum section on 5 March 2022.

It is hoped that the publication of the article will open the minds of contractors to not offer prices that are too low to the detriment of employees and customers who do not choose contractors based solely on the lowest price.

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Engagement Session Regarding Approval for Hiring Foreign Workers (60K of the Employment Act 1955)

Pada 22 Ogos 2022, En Noruddin; Presiden, Tuan Haji Faizal; Timbalan Presiden dan En Nik Husin; Setiausaha Eksekutif MACC telah menghadiri Sesi Libat Urus Mengenai Kelulusan Bagi Pengambilan Pekerja Asing (60K Akta Kerja 1955).

Sesi tersebut menerangkan mengenai pindaan Akta Kerja 1955 khususnya Seksyen 60K yang mewajibkan semua majikan yang ingin mengambil pekerja asing perlu mendapatkan kelulusan Ketua Pengarah Jabatan Tenaga Kerja Semenanjung Malaysia (JTKSM). Antara syarat kelulusan ialah majikan,

  1. tidak ada tonggakan caruman KWSP
  2. tidak ada tonggakan caruman PERKESO
  3. tidak ada tonggakan gaji pekerja
  4. membayar gaji pekerja tidak kurang dari gaji minimum
  5. tidak ada tindakan mahkamah yang berkaitan

Majikan perlu mendapatkan Sijil Kelulusan Ketua Pengarah JTKSM sebelum proses berikutnya iaitu mendapatkan quota dan seterusnya.

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Engagement Session With MACC Members

At 3.00 pm, 22 August 2022, MACC held a Member Engagement session at the Royal Lake Club, Taman Tasek Perdana. The session aims to exchange opinions and views with members on the problems and direction of the industry as well as shed light on the efforts that have been carried out by MACC to advance the cleaning sector. The views given by the members are used as guidelines for MACC’s direction in further developing the cleaning sector. In addition to that, problems raised by members will be taken action and extended to the relevant parties.

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Meeting on the Improvement of the Management Policy of Foreign Workers in the Laundry and Cleaning Service Sub-Sector

On 11 August 2022, the Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) invited MACC to attend the Meeting on the Improvement of Foreign Worker Management Policy in the Laundry and Cleaning Services Sub-Sector.

Representing the MACC at the meeting are the President; En Noruddin, Deputy President; Tuan Haji Faizal Rahim and Secretary of Work; Mr Nik Husin. Also present was Mr Shahbuddin representing Harta Maintenance Sdn Bhd. The meeting was chaired by YBhg. Dato; Rohaizi Bahari, Head of Trade, Distribution and Business Sector of KPDNHEP discussed the scope of the study to be carried out for the improvement of the Foreign Worker Management Policy of the Laundry and Cleaning Service Sub-Sector.

The purpose of the study was to achieve the following objectives;

  1. Determining the new conditions for hiring foreign workers, including calculating the qualification quota.
  2. Identify the need to open more suitable locations to allow laundry companies to carry out business activities involving foreign workers.
  3. Identify ways to improve the regulation of foreign workers for the Laundry and Cleaning Services Sub-Sector.

MACC welcomes KPDNHEP’s efforts to carry out the study which can certainly help facilitate the recruitment of foreign workers for ‘genuine’ cleaning contractors and at the same time avoid the quota of foreign workers being misused by irresponsible parties.

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MACC Official Meeting Minutes

Venue: Sinar Global Academy Office
Time: July 25, 2022
Date: 2.50 pm

Present:

  1. Mr. Norruddin Idris – President
  2. Mr Hj Faizal Rahim – Deputy President
  3. Mr Hj Nik Hussin Nik Yusof – Executive Secretary
  4. Datuk Md Zainal Wahab – Vice President
  5. Ms Hjh Azizah Man – Secretary
  6. En Rosdi Ahmad – Treasurer
  7. Mr. Mohamad Ramli Usrak – Committee
  8. Mr. Mohd Muzaini Dato’ Mohd Zain – AJK
  9. Mr. B. Murali Nair – Committee
  10. Mr. Zulkifli Salleh – Committee
  11. Mohd. Nor Mokhtar – Pen. Secretary (Minute Taker)

Absent (With Permission):

  1. Mrs. Kalthom Ab Wahab – Assistant Treasurer
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KPDNHEP visit to MACC

On 25 July 2022, KPDNHEP led by YBhg. Dato’ Rohaizi Bahari, Director of Trade, Distribution and Business Sector, and his officers; En Muhamad Hanif Asa’ari, Director of the Trade, Distribution and Business Secretariat, Chief Assistant Director; Mr Mohd Afandi Mohd Isa and Ms Hanis Mohd Zainurin held a meeting with the MACC Committee at Harta Maintenance Sdn Bhd’s office in Eco Sky, Kuala Lumpur.

The purpose of the meeting is to get to know and establish closer cooperation between MACC and KPDNHEP, especially in an effort to develop the Washing and Cleaning Services Sub-Sector to be more dynamic, viable and competitive.

In the meeting, MACC showed a MACC Profile video followed by a slide presentation about MACC’s direction delivered by Mr. Nik Husin, MACC’s Working Secretary. Tuan Haji Hedzir also presented slides on efforts towards adapting IR4, Industrial Revolution 4; Robotics, Automation and Digitization.

Representatives from KPDNHEP were also shown the use of robots for scrubbing the floor.

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Discourse on the Challenges of the Cleaning Sector

In conjunction with the 27th Annual General Meeting, MACC has held a Discourse on Cleaning Sector Challenges on 25 May 2022 at the Mardhiyyah Hotel, Shah Alam

Discourse discusses among others;

  1. The role and responsibilities of the Ministry of Domestic Trade and Consumer Affairs are to regulate and assist the sustainable and viable growth of the cleaning sector.
  2. Issues and problems related to the implementation and compliance of Act 446 Minimum Standards for Housing and Employee Facilities.
  3. Issues and problems related to the recruitment and management of foreign workers in the cleaning sector.
  4. Local recruitment programs and incentives by SOCSO

Discussing related issues are Mr Muhamad Hanif Asa’ari, Director of the Trade, Distribution and Business Secretariat, Mr Wan Ismail Wan Ibrahim, Director of the Labor Standards Division, Department of Manpower, Peninsular Malaysia, Ministry of Human Resources and Mr Amirudin Safwan Abdul Samad from the Employment Insurance System, SOCSO. Officials from the Ministry of the Interior were also present as observers.

It is hoped that through this discussion both parties, the government and contractors can find a meeting point to implement and comply with relevant acts and regulations and the cleaning sector can continue to play its role in maintaining the cleanliness and image of Malaysia as a developed country.

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Brainstorming Session: Minimum Wage Issue RM1500

Responding to the members’ suggestions, the MACC Committee held a brainstorming session to discuss the actions that need to be taken following the declaration of a minimum wage increase of RM1500 effective 1 May 2022.

The session that was supposed to be held at the Mardhiyyah Shah Alam Hotel had to be moved to the Q-Services Sdn Bhd office due to lack of response from the members. Only twelve people, including the Committee were present for the session.

The President, Mr Noruddin presented a series of minimum wage declarations and press releases issued by Datuk Seri Saravanan and Datuk Noh Omar as well as the follow-up actions taken by the MACC.

The members present have proposed matters to be submitted to the government, to deal with the problem of raising the minimum wage,

  1. Employers are allowed to deduct workers’ wages from the foreign worker levy.
  2. The validity of the work permit is extended to two years. That is, work permit renewal is done every two years to ease the contractor’s burden.
  3. The 25% discount for levy payments introduced during COVID-19 has been extended.
  4. Cleaning workers need to be certified to raise their image and attract local workers.
  5. Classify cleaning contractors according to their ability to reduce contract wrangling.

The committee will refine the suggestions submitted and extend them to the relevant parties.

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Minimum Wage Increase Issue RM1500

The issue of raising the minimum wage and its effect on cleaning contractors was raised by the President, Mr. Noruddin Idris in the online newspaper The Malaysian Reserve, with the title ‘Increasing minimum wage not a holistic solution’. Posted on March 21, 2022.

This was followed by Utusan Malaysia which published the views of the President, Mr Noruddin on the same issue, with the title ‘Increase in the minimum wage of the contractor’s burden’ in the Forum column of the newspaper on 26th March 2022.

Then on 5 April, another article by Mr Noruddin with the title ‘Salary rises, prices rise’ was also published in the Forum section of Utusan Malaysia. Among other things, he criticized views that said raising the minimum wage would ease the burden on the people.