KUALA LUMPUR, March 30 — The implementation of the RM1,500 minimum wage rule for micro-entrepreneurs is still under discussion, says Minister of Entrepreneur Development and Cooperatives Tan Sri Noh Omar.

He said this was following an appeal by the entrepreneurs for its implementation to be reviewed.

"We will discuss the matter and we know that many sectors that went bankrupt during the pandemic were from the micro-entrepreneur group who conduct their businesses from stalls and so on.

"If the implementation of the minimum wage is made a rule, they are worried that if they cannot afford to pay the amount, then workers can report to the Labour Department,” he told reporters after the launch of a special edition gold series to commemorate 100 years of the cooperative movement here today.

Noh said, however, micro-entrepreneurs who could afford to pay the minimum salary of RM1,500 were encouraged to do so.

On March 19, Prime Minister Datuk Seri Ismail Sabri Yaakob announced that the minimum wage rate of RM1,500 per month would be implemented nationwide from May 1.

In another development, Noh said in an effort to strengthen the cooperative movement, a university, namely Universiti Keusahawanan dan Koperasi would be established in Cyberjaya.

"Besides that, we are also making efforts to separate Bank Rakyat’s affairs from its other activities such as tourism, real estate, development and so on, as Bank Negara Malaysia no longer allows Bank Rakyat to be involved in activities other than banking.

"In this matter, we will create BR 2 ... however further details related to BR 2 and the establishment of this university will be announced by the Prime Minister in conjunction with the launch of the 100 Years of the Cooperative Movement celebration in July,” he said.

Earlier, Noh in his speech said based on the 2020 Economic Report for the Cooperative Sector published by the Malaysian Cooperative Commission, as of December 31, 2020, the turnover for the sector was RM41.5 billion.

He said the financial services sector was the largest contributor to the overall revenue of the cooperative movement at 83.2 per cent, followed by the property development sector and the construction industry (10.8 per cent) and the wholesale and retail sector (4 per cent).

"Bank Rakyat and Co-opbank Pertama are the largest contributors to the financial services sector at 70.7 per cent, followed by credit financing activities (15.8 per cent) and Ar-Rahnu (13 per cent),” he said.

On the Special Edition Gold Series in conjunction with the 100th anniversary of the cooperative movement issued by RMS Gold, a subsidiary of Bank Rakyat, he said it was a sign of support to cooperatives and their customers who have supported the sector.

There is a total of 2,000 units of the special edition gold series in the form of wafers weighing one and five grammes available at RM340 for the one gramme version and RM1,600 for the five-gramme wafer, while it is RM1,300 for the 4.25-gramme gold dinar. — Bernama