Malaysia’s minimum wage to increase from RM1,500 to RM1,700 per month effective Feb 1, 2025

Anwar announces increase in minimum wage from RM1,500 to RM1,700 per month effective Feb 1, 2025, during Budget 2025 announcement in Parliament on Oct 18, 2024.
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By Shikin Louis

KUCHING, Oct 18: The Federal government has announced an increase in the minimum wage from RM1,500 to RM1,700 per month, set to take effect on February 1, 2025.

Prime Minister Dato’ Seri Anwar Ibrahim, in tabling the National Budget 2025 broadcast live on TVS today, highlighted that this move was part of the measures aimed at raising income levels and improving living standards for Malaysians.

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“However, employers with fewer than five employees will be granted a six-month deferment, with the new wage rate taking effect for them on August 1, 2025,” he said.

He also said the Ministry of Human Resources will issue salary guidelines for various job sectors, providing reference points for starting wages.

“For example, the starting salary for an industrial and production technician will be RM2,290; a mechanical engineer – RM3,380; and a creative content professional – RM2,985,” he added.

At the same time, he said the proposed Progressive Wage Policy which aims to reform the labour market and increase workers’ incomes, piloted in June this year, will be fully implemented next year with an allocation of RM200 million, benefiting 50,000 workers.

On the other hand, Anwar shared a success story from the People’s Income Initiative (IPR) which aims to eradicate extreme poverty by raising the income of low-income citizens.

“One example of its success is the story of Normaladiana Mohd Yazal, a physically disabled woman (OKU) who, through the IPR INSAN programme, has doubled her household income by assisting her husband’s business.

“In 2025, the government has allocated RM250 million to further expand the IPR programme, enabling more underprivileged citizens to improve their earnings and lift themselves out of poverty,” he emphasised. – DayakDaily

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