Malaysia

Workers urged to report wages below RM1,700, says HR ministry

Ministry calls on employees earning less than the RM1,700 minimum wage to lodge complaints with the Department of Labour, warning of legal action against non-compliant employers

Updated 1 year ago · Published on 23 Jun 2025 5:21PM

Workers urged to report wages below RM1,700, says HR ministry
The statement follows recent media reports alleging that some tour bus drivers were being paid a basic salary as low as RM700 per month, with no fixed allowances. - June 23, 2025

THE Ministry of Human Resources (KESUMA) has urged workers who are paid below the current minimum wage of RM1,700 to immediately file complaints with the Department of Labour (Jabatan Tenaga Kerja or JTK).

In a statement issued today, the ministry reaffirmed that all parties must comply with the Minimum Wage Order 2024 to protect the welfare and rights of employees in Malaysia.

It further warned that it will not hesitate to take legal action under the National Wages Consultative Council Act 2011 against any breaches.

The statement follows recent media reports alleging that some tour bus drivers were being paid a basic salary as low as RM700 per month, with no fixed allowances.

Under the Minimum Wage Order 2024, now in force, employers are legally required to ensure that all employees earn no less than RM1,700 per month—regardless of whether this amount is paid as a basic salary or as part of total monthly earnings.

“If the employer sets a basic salary in the contract of service, it must not be less than the current minimum wage.

“If the contract does not specify a basic salary, then the employer must ensure the total monthly payment is not below the minimum wage, excluding any additional allowances,” the ministry said.

The order also applies to part-time workers.

KESUMA stated that the Department of Labour would intensify its monitoring efforts and enforcement actions against wage violations, including illegal wage deductions.

Should an employee’s complaint be upheld in court, the employer may be ordered to pay the wage shortfall and any affected allowances, in line with Section 44 of Act 732.

On 21 June, a local news portal reported that some express and tour bus drivers were receiving as little as RM700 a month in basic pay, with some allegedly receiving no basic salary at all.

The situation has reportedly forced many to rely on travel allowances and overtime to make ends meet, often sacrificing rest days and working nearly every day. - June 23, 2025

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