Accra:The Human Resources Ministry is set to introduce new guidelines to ensure the orderly implementation of the Minimum Wage Order, targeting semi-skilled workers and graduates, as announced in Budget 2027.
According to BERNAMA News Agency, Human Resources Minister Datuk Seri R. Ramanan stated that the Starting Basic Salary Guidelines will rely on the Malaysian Standard Classification of Occupations (MASCO) to establish more comprehensive salary benchmarks based on job types and qualification levels. These guidelines for MASCO categories 1 to 3 were determined through the Graduate Study and several engagement sessions.
For graduate-level jobs, the guidelines propose salary benchmarks for MASCO categories 1 to 3, which include graduates with degrees, diplomas, and Malaysian Advanced Skills Diplomas at Level 5. The proposal also addresses holders of Malaysian Skills Diplomas at Level 4 and Malaysian Skills Certificates at Level 3, initially to be implemented as guidelines.
For semi-skilled jobs, the Skills-Based Starting Basic Salary Guidelines will align with the new approach, covering holders of Malaysian Skills Certificates at Levels 1 and 2, thus expanding the salary framework across MASCO categories 1 to 8.
Minister Ramanan also announced plans to introduce an e-wages module to monitor salary payments, aiming to enhance enforcement of labor laws and ensure compliance with the Employment Act 1955. This mechanism will be proposed for all workers, including non-citizens, to address issues like unpaid wages and incorrect salary payments.
KESUMA is also considering amendments to the National Wages Consultative Council Act 2011 to include educational qualification requirements, potentially making minimum wage payments for graduates mandatory in the future. The guidelines are expected to be published and implemented alongside the Minimum Wage Order in June 2027, offering a centralized reference for starting salaries based on occupation, qualifications, and skills.
Prime Minister Datuk Seri Anwar Ibrahim previously announced a minimum wage increase from RM1,700 to RM2,000 effective June 2027, affecting over four million workers. However, micro, small, and medium enterprises with annual sales below RM50 million will be exempt initially to allow business model adjustments. Additionally, reforms to the workers' income framework will include a proposed minimum monthly wage of RM2,500 for semi-skilled jobs and graduates.