Govt plans wage law changes for RM2,500 starting salary requirement
The proposed minimum would cover graduates and semi-skilled workers under Budget 2027, with legal changes targeted before June 2027.
The Human Resources Ministry plans legislative amendments to enable a mandatory RM2,500 monthly starting salary for graduates and semi-skilled workers under Budget 2027, said Human Resources Minister Datuk Seri R Ramanan.
The proposed changes concern the National Wages Consultative Council Act 2011. Ramanan said existing legislation does not permit minimum wages to vary by educational qualification. The ministry is targeting amendments before June 2027, as legislation must first be in place for the requirement to become mandatory.
Separately, the ministry, known as Kesuma, is drawing up basic salary guidelines that take account of occupations, qualifications and skills. It intends to issue and implement them in June 2027, alongside the new national minimum wage rate.
Ramanan said the Malaysia Standard Classification of Occupations (Masco) would underpin the guidelines, giving workers and employers a common reference for starting basic pay. He said the aim was a clearer wage structure rather than simply prescribing a salary figure.
Kesuma is also developing a wage-payment monitoring mechanism through an e-wages module, with coverage proposed for all employees, including non-citizens. Ramanan said it would help enforcement by checking payment methods, timeliness and compliance with employment contracts.
The mechanism would track agreed basic pay, allowances, incentives and bonuses. Its intended purpose is to reduce non-payment, delays, underpayment and violations of minimum wage rules.
