The Malaysian government, under the leadership of Prime Minister Annuar, has once again shown its commitment to ensuring better living standards for all citizens. In a recent announcement, the government unveiled plans to raise the minimum wage from RM1,500 to RM1,700 per month, effective February 1, 2025. This decision is yet another significant step in a series of initiatives by the MADANI government to enhance the income and quality of life for workers across the country.

“source from MOF Malaysia – Youtube”

A Timeline of Wage Increases

“Source from : NST Malaysia”

To appreciate the progress made, it’s worth taking a brief look at how the minimum wage has evolved in Malaysia. Just a few years ago, in May 2022, the minimum wage was increased from RM1,200 to RM1,500, reflecting the government’s priority in addressing workers’ needs and boosting household income. Now, less than three years later, the wage is set to rise again—this time to RM1,700. These steady increments demonstrate the government’s dedication to bridging the income gap and providing financial security to the workforce.

The New Minimum Wage: Details & Implications

Starting from February 1, 2025, workers will see their wages increase by RM200, from RM1,500 to RM1,700. However, for small businesses with fewer than five employees, the new minimum wage requirement will be postponed for an additional six months, coming into effect on August 1, 2025. This phased approach allows small enterprises time to adjust, while still ensuring that most workers can soon benefit from the higher wage.

Prime Minister Annuar also clarified that the new minimum salary of RM1,700 will not apply to those with higher qualifications and education, such as mechanical engineers and other highly skilled professionals, who should be receiving better compensation in line with their expertise and qualifications.

This increase in the minimum wage is part of a broader effort by the MADANI government to restructure the economy—not only to attract investments and drive growth but also to ensure that the economic gains reach every household. Economic restructuring is only deemed successful when people can enjoy meaningful wages that provide a comfortable standard of living.

Starting Salary Guidelines for Key Sectors

“Source from : MOF malaysia (Youtube) “

“Source from : IKHTIAR 36: PENDAPATAN RAKYAT – Ucapan Belanjawan 2025“

In addition to announcing the wage increase, the Ministry of Human Resources has been tasked with publishing guidelines on starting salaries for various job sectors. This move will serve as a benchmark for employers and a reference for employees, giving clarity to both parties when negotiating salaries.

Some examples of the starting salaries under the new guidelines include:

• Industrial and Production Technicians: RM2,290

• Mechanical Engineers: RM3,380

• Creative Content Professionals: RM2,985

These salary guidelines aim to promote fair compensation and transparency, helping employees understand their worth in the job market and setting clear expectations for employers.

Moving Forward: A Brighter Future for Malaysian Workers

The wage increase is just one part of the government’s vision for a more prosperous, inclusive Malaysia. By making continuous efforts to improve wages, the government is working to address income inequality and ensure that every citizen can lead a more dignified and comfortable life.

As the MADANI government moves forward with its economic reforms, it is heartening to see policies that put the well-being of the people first. The recent wage increase is a positive step toward creating a more balanced and equitable society, where economic growth translates into better opportunities and improved quality of life for all.

Let’s hope that this is just the beginning of more measures that will uplift the lives of workers and strengthen Malaysia’s position as a vibrant, growing economy!