MTUC calls for minimum wage increase to RM3,100

The Malaysian Trades Union Congress (MTUC) has called for the minimum wage to be increased to RM3,100 per month to keep pace with the rising cost of living and inflation. MTUC Secretary-General Kamarul Baharin Mansor noted that since the implementation of the minimum wage policy 13 years ago, the average annual increase for the 16.77 million private sector workers has been only approximately RM61.50.

Since 2013, the minimum wage has risen from RM900 in Peninsular Malaysia and RM800 in Sabah and Sarawak to a projected RM1,700 per month starting in February 2025. The MTUC argues that annual inflation rates of 1.8 to 2 percent have eroded purchasing power, making the current trajectory insufficient for worker welfare and productivity.

In contrast, the Malaysian Employers Federation (MEF) has described the proposal to jump from RM1,700 to RM3,100 as unreasonable and impractical, noting that such a move would represent an 82 percent increase.