Malaysia

Townhall with PMX: Minimum wage may be raised above current RM1,700

The Prime Minister signals that the national minimum wage could rise beyond RM1,700 if economic growth remains strong

Updated 10 months ago · Published on 27 Nov 2025 5:17PM

Townhall with PMX: Minimum wage may be raised above current RM1,700
Plans underway to elevate the status of Form Six students in Sabah to match matriculation and foundation college students - November 27, 2025

PRIME MINISTER Datuk Seri Anwar Ibrahim has indicated that Malaysia’s minimum wage may be raised above the current RM1,700 level, stressing that the present rate remains insufficient to cover the daily cost of living for workers.

“Before we assumed government, the minimum wage was RM1,200. It was later increased to RM1,500, and last year we raised it again to RM1,700. Is that enough? I do not believe it is sufficient.

“Once our economy strengthens, I will raise the minimum wage,” he told attendees at the Townhall PMX with Youth event in Inanam today.

Addressing questions about delayed implementation in Sabah, Anwar pointed to government-linked companies that have set higher minimum salaries to ensure worker welfare.

“If we have full authority in government companies, the minimum wage is RM3,100. That is the standard we aim for,” he said.

He added that public sector salaries have previously been increased by as much as 30 per cent to help workers cope with rising living costs.

Acknowledging that certain sectors in Sabah have been exempted from the minimum wage, Anwar emphasised that discussions will continue to ensure employees in the state are not left behind.

“Some areas in Sabah are given exemptions, but I agree with you, we must continue to negotiate to raise the minimum wage, including in Sabah,” he affirmed.

In a parallel education initiative, Anwar confirmed that Form Six students in Sabah will be granted parity with matriculation and foundation college students, including the same allowances and entitlements.

“Previously, Form Six was considered part of school, while matriculation or foundation students were separate and received allowances. Now, Education Minister Fadhlina Sidek has proposed that Form Six be treated as a dedicated Form Six college.

“Their status must be the same as matriculation. Anything given to matriculation students should also be extended to Form Six students,” he explained.

The Prime Minister further pledged to establish a new Form Six College in Sabah following the state election, complete with hostel facilities to ease the financial burden on students’ families.

“Because it is currently election season, I cannot make a formal promise, as it would contravene regulations. But our policy is clear: we will establish a new Form Six College in Sabah, and it will be equipped with hostels,” Anwar said, signalling a dual commitment to economic equity and the advancement of education in the state. - November 27, 2025

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