KUALA LUMPUR, Oct 9 — The Malaysian government today announced an increase in the minimum wage from RM1,700 to RM2,000, effective June 2027.
Prime Minister Datuk Seri Anwar Ibrahim also said micro, small and medium enterprises (MSMEs) with annual revenues of less than RM50 million would be exempted from the increase to give them time to adapt their business models.
“The gap between workers’ productivity and wages must be narrowed, as the cost-of-living burden stems from incomes failing to keep pace with rising prices.
“This means more than four million workers will be covered by the new minimum wage rate,” he said while tabling Budget 2027 at the Dewan Rakyat earlier today.
He also said the government will also introduce a minimum monthly salary of RM2,500 for semi-skilled workers and graduates as a starting point, as part of reforms to the country’s wage framework.
