KUALA LUMPUR, Aug 23: The Malaysian Trades Union Congress (MTUC) wants the minimum wage structure to be expanded to include middle-income workers to ensure salary increases are in line with their skills, education and work experience.
Its secretary-general Kamarul Baharin Mansor said the move would help address skills mismatch issues, enable companies to attract quality talent and support productivity as well as wage growth.
He said Human Resources Minister Datuk R. Ramanan’s statement that the government was reviewing the minimum wage rate was a positive step for workers.
“Under the National Wages Consultative Act, the minimum wage rate must be reviewed once every two years. With only five months remaining, the announcement of the new rate needs to be made.
“Following the increase implemented in February 2025, the new rate should come into effect in February 2027. Any delay could place greater pressure on workers amid rising costs of goods,” he said.
Kamarul Baharin said a decent living wage of RM3,100 a month could serve as a reference for a reasonable new minimum wage, taking into account rising living costs, inflation, food prices, housing, transportation and other basic necessities.
He said some workers were still earning RM1,700 despite having 10 years of service due to the absence of a proper wage structure.
He added that MTUC was ready to work with the government through the National Wages Consultative Council (MPGN) by providing input and views on the new minimum wage rate.
Last Tuesday, Ramanan said the minimum wage rate was being reviewed to determine whether the current RM1,700 monthly rate should be maintained or increased.
— BERNAMA