WORKMEN'S COMPENSATION ACT/ EMPLOYMENT ACT (Raising of wage ceiling)

Encik Othman bin Haron Eusofe asked the Minister for Law and Minister for Labour whether he will review the present wage ceiling of $1,250 per month specified in the Workmen's Compensation Act and the Employment Act and consider raising it to a higher ceiling to take account of the current level of wages.

The Parliamentary Secretary to the Minister for Labour (Mr Eugene Yap Giau Cheng) (for the Minister for Law and Minister for Labour): Mr Speaker, Sir, I am replying on behalf of my Minister.

The present wage ceiling of $1,250 pm provided under the Workmen's Compensation Act was last revised in 1981 to bring it in line with the amount prescribed in Part IV of the Employment Act. The revision from $750 to $1,250 took into account wage increases during the period between 1971-1980. The need for another revision of the wage ceiling so close after the last one is, therefore, not justified. It is, however, the Ministry's intention to adjust the wage ceiling at regular intervals if the increase in the level of wages warrants it.

Encik Othman bin Haron Eusofe (Geylang Serai): Mr Speaker, Sir, what percentage of the total workforce is presently earning salaries below $1,250 per month?

Mr Eugene Yap: Sir, it would be about 87% to 88%.