Myanmar gov't launches low-cost housing project amid minimum wage issue

Myanmar government is launching a low-cost housing project for workers in industrial zones to help share the cost burden that private factories must bear following the enactment of a national minimum wage on Sept. 1, reports said on Tuesday.

The Ministry of Labor, Employment and Social Security voiced commitment to spend 26 billion kyats (20.3 million U.S. dollars) on the project on 45 acres (18.22 hectares) of land plot and tender for the project in two industrial zones in Yangon -- Hlinethaya and Shwepyitha is being invited.

The introduction of 3,600 kyats (about 2.83 U.S. dollars) national minimum eight-hour daily wage on all workers in Myanmar on Aug. 28 has initially left about 500 workers unemployed.

The minimum wage, being applied across all regions and states without discrimination and kinds of work running with more than 15 workers, has taken effect from Sept. 1.

Calling for redundancy payment, the Federation of Trade Unions Myanmar (FTUM), however, said with some 250,000 workers employed in the garment and textile industry, the 500 lay-off will not have much effect on the entire workforce.

The negotiable minimum wage designation was proposed by the National Minimum Wage Committee of the government on June 29, inviting feedback from the public after conclusion of one year's coordination between the government, employers and labor representatives. Enditem