Minimum salary raised to RM1,050 effective Jan 1


The government has revised the minimum pay for Malaysians upwards to RM1,050 per month from RM1,000 effective Jan 1, 2019.

The Prime Minister’s Office (PMO) announced in a statement yesterday that the new rate covers local workers in the peninsula, as well as in Sabah, Sarawak and the Federal Territory of Labuan.

This is the first move by the government to streamline basic pay for all Malaysians in Peninsular Malaysia, Sabah and Sarawak.

Previously, the minimum salary for Malaysians working in the peninsula is RM1,000, while the lowest pay for local workers in Sabah and Sarawak was RM920.

The PMO said the decision was made after taking into account recommendations from the National Wage Consultative Council.

“The government has also decided not to give subsidy to any employer to offset the country’s current financial constraints.

“The rise in minimum salary is in line with the nation’s economic situation.

“We should be aware that any drastic salary increment could pose another problem to local industry and affect the nation’s competitiveness,” the statement said.

As such, traders have been urged not to raise the prices of goods and services following the rise in minimum wage.

PMO also noted that the Domestic Trade and Consumer Affairs Ministry will monitor the matter.