Government raises minimum wage to RM1,700 per month
Malaysia has extended minimum wage coverage to include workers under apprenticeship contracts, following an increase in the national minimum pay to RM1,700, according to reports.
The government's latest amendment to the National Wages Consultative Act means that the minimum wage will now cover contract apprentices.
"Under the amendment, the current minimum wage now applies to apprenticeship contract workers, in line with the government's commitment to enhancing protection and welfare for all categories of workers," a statement from the Human Resources Ministry read, as quoted by Bernama.
According to the report, an apprentice contract is an agreement where an employer hires and systematically trains a person in a specific trade from six to 24 months.
Employers who have been paying the minimum pay to apprenticeship workers ahead of the requirement were thanked by the ministry.
It also warned employers paying beyond the minimum rate that they cannot reduce salaries to match the statutory threshold.
The Malaysian government earlier this year implemented its 2024 Minimum Wage Order of RM1,700 per month. A six-month deferment period was implemented for businesses with fewer than five employees, which ended on July 31.
"Effective August 1, 2025, without exception, all employers, including those who previously benefited from the deferment period, must comply with the RM1,700 monthly minimum wage order," the Human Resources Ministry said in July, as quoted by Bernama.
"This includes non-citizen employees and contract apprentices, but does not apply to domestic workers."
Non-compliant employers may face fines of up to RM10,000 for each affected worker, according to the ministry.
