The Malaysian Trades Union Congress (MTUC) has called on the government to set a new minimum wage of RM3,100 a month, positioning the figure as a “living wage” benchmark as workers face mounting pressure from rising living costs.
MTUC secretary-general Kamarul Baharin Mansor said the review of Malaysia’s minimum wage is both timely and necessary, citing increases in the cost of food, housing and transportation alongside broader inflationary pressures.
In a statement, Kamarul Baharin rejected arguments that a review of the minimum wage should not automatically lead to an increase. He said such views overlook workers who remain at the statutory wage floor for years because employers do not provide voluntary salary increases.
Malaysia’s minimum wage was raised to RM1,700 in February 2025. Under the National Wages Consultative Council Act 2011, the next mandatory review is due by February 2027. MTUC, however, warned that waiting too long to introduce a revised rate could leave low-income workers under continued financial strain.
The union is also calling for a structured wage scale to be incorporated into wage policy, arguing that workers should have clear pathways for salary progression as they gain experience and skills.
Kamarul Baharin pointed to cases of employees who continue earning RM1,700 even after a decade of service because their organisations lack a defined salary progression framework.
According to MTUC, structured wage scales could help address this gap while also benefiting workers earning above the minimum wage. The union said clearer progression mechanisms could support middle-income workers, reduce skills mismatches, improve employee retention and contribute to higher national productivity.
The call comes as Malaysia prepares for discussions within the National Wages Consultative Council on the country's next minimum wage framework. MTUC said it would continue to advocate strongly for workers during the upcoming negotiations.
The proposed RM3,100 benchmark would represent a significant increase from the current RM1,700 wage floor, reflecting the union’s argument that minimum wage policy should increasingly take into account the actual cost of maintaining a decent standard of living rather than serving only as a statutory wage floor.