Kuala lumpur: More than 27,000 workers have benefited from the Progressive Wage Policy (DGP), reflecting the industry’s confidence in an emolument model based on skills and productivity over the past 11 months, said Human Resources Minister Steven Sim. He noted that 2,489 employers are now participating in the initiative, showcasing the policy’s strong effectiveness in workplaces.

According to BERNAMA News Agency, more than 45 percent of workers in the professional to machine operator categories have experienced wage increases of RM300 or more, with 22 percent of beneficiaries being youths. This is seen as a significant indicator that the DGP can attract, retain, and develop young workers critical to boosting national productivity. The rising participation is also driven by direct benefits to employers, namely monthly financial incentives paid directly by the Social Security Organisation (Perkeso) until 2027, along with access to a more skilled, productive, and stable workforce.

Sim highlighted that the voluntary and phased approach of the DGP provides employers, especially Small and Medium Enterprises (SMEs), with the flexibility to adjust its implementation according to their operational capacity. Encouraged by the achievements so far, he urged more employers to join the DGP as a strategic investment in strengthening their companies’ competitiveness.

Sim described the DGP as a structural wage reform that ensures genuine skill improvements are translated into commensurate wage rewards, supporting the national objective of building a more equitable, progressive, and sustainable labour market. On another matter, he emphasized that the government maintains a firm stance on not compromising on issues of worker exploitation, including cases involving foreign workers, with Malaysia receiving international recognition for its commitment to combating labour exploitation and protecting workers’ rights.

He stressed that the government takes all aspects of worker welfare seriously, including complaints, labour law enforcement, wage payments, and the provision of accommodation, adding that every report relating to worker exploitation will be scrutinized and appropriate action taken. “We are very firm on labour laws. Malaysia ensures that worker exploitation does not occur, whether involving local or foreign workers, and we cannot compromise,” he said. Sim made these remarks in response to international media reports quoting United Nations human rights experts expressing renewed concern over ongoing exploitation, deception, and debt bondage involving Bangladeshi migrant workers in Malaysia.