In its Economic Outlook 2020 report released today, the ministry said the PLWS would also provide a more flexible wage structure that could withstand economic uncertainties as well as ensure job stability and reduce the likelihood of retrenchment during down cycles.
According to the report, PLWS comprises fixed and variable components, whereby the fixed component consists of basic salary, annual salary increment and contractual bonus.“Both components are then mapped onto three PLWS models, namely productivity, profitability and combined models. The ministry said various efforts had been undertaken by the Human Resources Ministry and Malaysia Productivity Corporation to intensify the adoption of PLWS, including training, workshops, seminars, briefings, consultancies, showcases of best practices, as well as PLWS Awards programme.
“Resistance from trade unions and high implementation cost also contributed to the slow adoption,” it said.
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