KUALA LUMPUR: The government will raise Malaysia’s minimum wage from RM1,700 to RM2,000 a month effective June next year, benefiting more than four million workers.
Prime Minister Anwar Ibrahim announced the increase when tabling Budget 2027, saying the move would help improve workers’ incomes.
However, micro, small and medium enterprises with annual sales below RM50 million will be exempted from the new rate to give them time to adjust their business models.
Anwar said while the minimum wage provided a basic income floor for workers, skilled employees were still not receiving salaries commensurate with their qualifications.
To address the issue, the government will reform the wage framework by introducing a minimum starting salary of RM2,500 a month for semi-skilled workers and graduates.
The proposed measures are aimed at improving wage levels and ensuring that workers’ earnings better reflect their skills and qualifications.
