Malaysian union wants minimum wage to reflect cost of living

The Malaysian Trades Union Congress (MTUC) has called on the government to hike the minimum wage next year amid a rise in the cost of living.
By: | December 13, 2021
Topics: Compensation and Benefits | Health and Wellness | Malaysia | News

The union’s secretary-general Kamarul Baharin Mansor has urged the government to increase the minimum wage to RM1,500 (US$355) with a cost-of-living adjustment of RM300 (US$72) – a rate it has been asking for since 2013.

The current minimum wage rate is RM1,200 (US$284), which was enforced on February 1 last year.

In a press statement, the union’s secretary-general Kamarul reminded the government that it is required to revise the minimum wage rate biennially in accordance with the National Wages Consultative Act 2011.

“With this wage increase, Malaysians would be able to enhance their retirement savings. The government must increase wages if it cares for the needs of working Malaysians,” said Kamarul.

READ: Malaysia registers lowest unemployment rate since last April

Last month, human resources minister M Saravanan said the National Wages Consultative Council was still finalising the minimum wage rate for 2022 to be presented to the Cabinet for its consideration, according to FMT.

From 2016 to 2018, Malaysia’ minimum wage remained unchanged at RM1,000 (US$237) before rising to RM1,100 (US$261) in 2019 and staying flat at RM1,200 (US$284) in 2020 and 2021.