Latest update about the Minimum Wages Order as announced by the Ministry of Human Resources.
Effective 1 August 2025, the national minimum wage has been increased to RM 1,700 per month, replacing the previous RM 1,500 rate. This new rate will apply nationwide and to all employers, including microenterprises, with no further deferment.
Key Highlights:
- RM 1,700 monthly minimum wage is now the new mandatory rate across all sectors.
- Any deferral previously granted to small businesses ended on 31 July 2025.
- Applies to all local and foreign workers, including apprentices.
- Penalties for non-compliance can include fines up to RM 10,000 per affected employee and further legal consequences (under the National Wages Consultative Council Act 2011 and Employment Act 1955).
We encourage all employers to review their payroll policies to ensure full compliance. If you are currently employing apprentices, part-time workers, or foreign workers, please take note of the applicability of this new rate.
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