Raising minimum wage will spur national economy, says Human Resource Minister

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Raising minimum wage will spur national economy, says Human Resource Minister
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KUALA LUMPUR: Raising the minimum wage from RM1,500 to RM1,700 a month effective Feb 1 next year will further spur the national economy, Human Resources Minister Steven Sim Chee Keong said."A simple example is that there are 4.37 million workers in Malaysia currently earning less than RM1,700. So, if we assume they received RM1,500, next year, they will have a combined additional salary of RM10 billion.

"Add to that RM10bil for the civil servants’ salary hike, so in 2025 there will be almost RM20bil in additional funds in the form of worker salary increments that have the potential to be an injection of funds to the local market,” he said during the winding up of the debate on the Supply Bill 2025 at the policy level for the Human Resources Ministry at the Dewan Rakyat on Tuesday .

Sim added that minimum wage should not be viewed as a starting wage for degree holders and skilled workers; instead, it should be the government’s efforts to raise the lowest base salaries among unskilled workers with low academic qualifications. He also said that the proposed minimum wage by sector required more in-depth studies as it encompassed economic dynamics, operational costs, and employer capacity in each sector. – BernamaSarawak Assembly approves new standing orders to curb social media misuse

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