Pakatan’s minimum wage plan will backfire, says Soi Lek

(The Star) – Many small and medium companies, and even eateries will close down, triggering massive unemployment if Pakatan Rakyat’s RM1,100 minimum wage is implemented.

MCA president Datuk Seri Dr Chua Soi Lek said Pakatan’s proposed minimum wage had caused anxiety among the business community.

“Some people even asked me whether the proposed RM1,100 minimum wage was a joke as it would be disastrous to their businesses and the country’s economic competitiveness,” he said.

He noted that Pakatan’s bid to increase the minimum wage by RM200 would backfire.

“It will create massive unemployment in our country,” Dr Chua told reporters at the MCA mega dinner themed “Stability Above Chaos” at Stadium Indera Mulia here last night.

He also challenged Pakatan to show their economic model.

“The various populist polices in Pakatan’s manifesto (Buku Jingga) amounting to almost RM200bil a year will bankrupt the country within two years if they take over Putrajaya,” he warned.

These populist policies include ensuring every Malaysian household has a minimum monthly income of RM4,000 which will cost the Government RM93bil a year.

Others include abolishing tolls, loans owed to the National Higher Education Fund Corporation and car taxes.

In another development, Dr Chua said the party would focus on winning the seats it contested in the last general election.

The MCA, the second largest Barisan component party, contested 40 parliamentary seats and 90 state seats in 2008.

Dr Chua, who is also Perak MCA chairman, said Barisan was confident of retaining the state.

Full house: Guests enjoying their meal during the MCA mega dinner in Ipoh. Full house: Guests enjoying their meal during the MCA mega dinner in Ipoh.

Citing the overwhelming response to last night’s mega dinner, he said many people could be seen waiting at the venue as it could only accommodate 700 tables.

He said it was a similar scene at the mega dinners in Malacca and Klang, leading to the organisers adding more tables.

Dr Chua said the tremendous response reflected unity and high spirits within the party and community.

He also said the RM500,000 raised at last night’s mega dinner would be given back to society for education purposes.