MTUC secretary-general Kamarul Baharin Mansor said this commission must have the determination to safeguard the interests of workers and employers.

“Decisions should not be made based on political interest,” he said in a statement.

Kamarul was responding to a statement by economy minister Rafizi Ramli last week that a policy paper on a progressive wage system would be presented to the National Economic Action Council in August.

Rafizi claimed the issue of equitable wages had never been comprehensively addressed by previous administrations.

Kamarul said MTUC supported the government’s proposal to introduce progressive wages as it would provide a “proper” perspective of the employment system in Malaysia and address the lack of annual salary growth for workers.

“The absence of annual wage increments has resulted in a lack of social improvement or changes for workers,” he said.

“There are workers who have been receiving RM1,500 in wages for over 25 years. This is unhealthy.”

Kamarul added that progressive wages could help alleviate entrenched poverty among workers and motivate greater productivity.

He also urged the government to continue making the “necessary changes” to employment policies to protect workers, especially those in the lower and middle-income brackets, who had been badly affected by rising costs.