Minimum Wage Malaysia 2026: Current Rates, Coverage & Employer Compliance
By SuperJobs Team · 6 min read
Quick Answer: The minimum wage in Malaysia is RM 1,700 per month (RM 8.72 per hour) effective 1 February 2025, applying to all employers nationwide since 1 August 2025. This guide covers who is covered, exemptions, penalties for non-compliance, and the government's target of RM 3,000 by 2030.
Malaysia's minimum wage is governed by the National Wages Consultative Council Act 2011 (Minimum Wages Order). As of 2025, the national minimum wage stands at RM 1,700 per month, applying uniformly across Peninsular Malaysia, Sabah, Sarawak, and Labuan.
Current Minimum Wage Rate
| Effective Date | Rate (Monthly) | Rate (Hourly) |
|---|---|---|
| 1 February 2025 | RM 1,700 | RM 8.17 (based on 26 working days, 8 hours/day) |
Who is Covered
| Category | Covered? |
|---|---|
| All employees under the Employment Act | Yes |
| Foreign workers | Yes |
| Part-time employees | Yes (pro-rated hourly) |
| Domestic workers | No |
| Apprentices under formal apprenticeship schemes | May be exempted |
Employer Obligations
- No employee shall be paid below RM 1,700/month for full-time work
- Basic salary must meet or exceed the minimum wage - allowances, overtime, and other payments cannot be included to make up the shortfall
- Employers must display the minimum wage order at the workplace
- The minimum wage applies regardless of the employee's nationality
Penalties for Non-Compliance
| Offence | Penalty |
|---|---|
| Paying below minimum wage | Fine up to RM 10,000 per employee |
| Repeat offence | Fine up to RM 20,000 per employee |
| Failure to display minimum wage order | Fine up to RM 10,000 |
Reporting Violations
If you are being paid below the minimum wage:
- File a complaint at your nearest Jabatan Tenaga Kerja (JTK) office
- Online complaint - Via the JTK portal
- Anonymous reporting - You can report without revealing your identity
- Timeline - No limitation period, but earlier is better for evidence
Impact on Fresh Graduates
The RM 1,700 minimum wage has raised the salary floor for fresh graduate roles, particularly in:
- Hospitality & F&B (previously common at RM 1,500 – 1,600)
- Retail and customer service
- Administrative and data entry roles
For fresh graduate salary expectations across industries, see our Salary Guide articles.
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Take the Next Step
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- Search salary benchmarks — Check if your pay meets market standards
- Explore career resources — Guides on Malaysian employment and careers
?Frequently Asked Questions
What is the minimum wage in Malaysia in 2026?
The minimum wage in Malaysia is RM 1,700 per month (RM 8.72 per hour), effective from 1 February 2025 under the Minimum Wages Order 2024. Since 1 August 2025, this rate applies to all employers nationwide, including micro-enterprises with fewer than 5 employees.
Does the minimum wage apply to part-time workers in Malaysia?
Yes, part-time workers in Malaysia are entitled to minimum wage calculated on an hourly basis at RM 8.72 per hour. The rate is derived from the monthly minimum wage of RM 1,700. Part-time employees working fewer hours receive proportionate pay based on actual hours worked.
Are domestic workers covered by Malaysia's minimum wage?
Domestic workers (household helpers) and apprentices under apprenticeship contracts are excluded from the Minimum Wages Order in Malaysia. Their wages are determined by mutual agreement between employer and employee. The government is targeting RM 3,000 minimum wage by 2030 under the 13th Malaysia Plan.
What happens if an employer pays below minimum wage in Malaysia?
Employers who pay below the minimum wage face penalties including fines up to RM 50,000 per employee. Employees can lodge complaints with the nearest Labour Department office. The employer may also be required to pay the difference in wages owed plus interest.
Does minimum wage in Malaysia include allowances and overtime?
No, the minimum wage of RM 1,700 refers to basic wages only, excluding allowances, overtime pay, bonuses, commissions, tips, service charges, or benefits in kind. Employers cannot include any of these components as part of the minimum wage calculation.