MTUC proposes RM3,100 living wage as minimum wage benchmark

The Malaysian Trades Union Congress (MTUC) has proposed that a living wage of RM3,100 per month be used as a reference for determining the new national minimum wage. MTUC General Secretary Kamarul Baharin Mansor stated that this figure is reasonable given the rising costs of food, housing, transportation, and basic necessities, alongside inflation.

Kamarul Baharin also urged the government to implement a formal salary scale structure. He noted that without such a structure, some employees remain at a salary of RM1,700 despite having ten years of service. He emphasized that expanding salary scales to middle-income earners is essential to address skill mismatches and ensure income growth aligns with education and experience.

The proposal follows reports that the government is reviewing the current minimum wage of RM1,700. Additionally, it was noted that several government-linked investment companies (GLICs), including Khazanah Nasional, Permodalan Nasional Berhad, and the Employees Provident Fund (KWSP), have already implemented living wage policies for their permanent staff.