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Starting from February 1st, 2025,MalaysiaThe minimum salary standard nationwide will be raised from RM1500 to RM1700 per month. This policy adjustment is expected to bring substantial salary growth to over 650000 workers, further improving their quality of life and purchasing power.
According to the announcement by Malaysian Prime Minister Anwar Ibrahim in the 2025 budget, the government has decided to raise the minimum wage standard to RM1700 to cope with the increasingly high cost of living and provide stronger economic support for low-income groups. This decision has received widespread attention from all sectors of society and is seen as an important measure by the government to focus on people's livelihoods and promote economic equity.
It is reported that this salary increase will cover a wide range of labor groups, including factory workers, service industry employees, and some small and medium-sized enterprise employees. It is expected that the number of people receiving salary increases will reach 657900, who will be the direct beneficiaries of this policy adjustment. After the salary increase, the average monthly salary of these employees will increase by RM200, which will undoubtedly have a positive effect on their ability to cope with life pressure and improve their quality of life.
Mohamad Effendi, Chairman of the Malaysian Confederation of Trade Unions, expressed appreciation for the government's decision and pointed out that salary increases not only help employees cope with the challenges of rising living costs, but also increase the purchasing power of low-income groups, thereby stimulating domestic demand and promoting sustained economic growth of the country. He emphasized that this policy is of great significance in promoting economic equity and narrowing the wealth gap.
However, Mohamad Effendi also reminded the government that implementing a new minimum wage system requires effective support measures to ensure the well-being of employees is protected, while not causing excessive economic burden on employers. He suggested that the government could consider providing preferential policies such as tax deductions or financial incentives for employers to help them adapt to the cost increase brought about by salary increases, and encourage employers to invest in technology and employee training to improve company productivity.
In order to ensure the smooth implementation of the new minimum wage system, Mohamad Effendi also called on the government to strengthen supervision of employers, ensure that they strictly comply with the new salary standards, and severely punish violations. At the same time, he also suggested that the government provide additional subsidies for private sector employees, such as food, fuel, and water and electricity, to further balance the high cost of living.
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