Stone Hotel and the fight over minimum wages

Abstract

This case study examines at how Ahmad, a hotel worker, changed over the course of his life while the hospitality business and labour laws in Malaysia changed. At first, Ahmad's family lived a simple life, like many others in their coastal town. They made a living by fishing and working in other nearby industries. But commercial and tourism growth pushed by the government drove them to move, which put Ahmad into the growing hotel business. Ahmad's job at Stone Hotel is very different from what he used to do for a living, which shows that he can adapt to new situations. Ahmad worked hard, but his pay stayed the same. He joined a trade union to try to get better working conditions and pay. This action started a big argument about how to read the Minimum Wages (Amendment) Order 2012, mainly about whether or not service charges should be counted towards the minimum wage. The fights between the union and the hotel, as well as the later court cases, show how complicated labour laws and collective bargaining can be. The court's decisions against the hotel's pay practises made it clear how important fair pay is and set a standard for how labour law should be applied. Ahmad's story shows how group action and legal actions can change fair labour practises and is a microcosm of the larger fight for worker rights in Malaysia.

Keywords: Minimum Wages; Collective Agreements; Industrial Relations; Conciliation