Minimum wage increase to RM1,700 is a positive step by the government

KUALA LUMPUR: A member of UMNO’s Supreme Working Council and Chairman of the Malaysian Gig Economy and Labor Union Secretariat, Datuk Seri Mohd Sharkar Shamsudin, welcomed the Madani government’s decision to raise the minimum wage from RM1,500 to RM1,700 per month, effective February 1, 2025.

According to the Wilayahku portal, he stated that this move is appropriate for alleviating the rising cost of living.

“For this minimum wage, we agree,” he said.

The announcement of the minimum wage increase was made by Prime Minister Datuk Seri Anwar Ibrahim during the 2025 Budget presentation in the House of Representatives today.

Anwar stated that the Ministry of Human Resources will also issue guidelines for starting salaries across all job sectors for workers’ reference.

He noted that the Progressive Wage Policy is the Madani government’s effort to reform the labor market with the aim of increasing workers’ income.

He mentioned that this policy has already begun to be implemented on a pilot basis since June and will be fully enforced next year.

The Progressive Wage Policy is allocated RM200 million and is expected to benefit 50,000 workers.

Meanwhile, Sharkar suggested that the minimum wage should be raised to RM2,500 or RM3,000 in the future.

He remarked that this amount would be adequate for those living in urban areas like Kuala Lumpur.

“In the future, it is suggested to increase it to RM2,500 to RM3,000 as the cost of living continues to rise,” he said.