Voluntary progressive wage is now set at RM1,810. For some sectors only for now.
How much is enough for a comfortable standard of living? How much money is enough for one to buy their first property? There is now a suggested minimum wage and that number is RM1,810 and this will start in some industries where the employers voluntarily pay this wage to their employees who are entry level. In other words, if this person continue working in the company for the next 3 years and receives a typical 5 percent increment, then the monthly salary would rise from starting RM1,810 to RM2,095.
If this person started to work at 24 years old, then by the time the person reaches 30 years old, the person would be earning RM2,426 per month. I am very sure within the 6 years, there could be one promotion as well. So, we can add an additional 10 percent to account for that and this person will be earning RM2,668 when the person reaches 30 years old. I personally think if one could show the company that he / she is super capable, then the salary per month is likely to be higher too. Do read on about the RM1,810 minimum wage.
Article in nst.com.my. A minimum wage of RM1,810 – that is what the pilot voluntary progressive wage policy (PWP) project is asking employers to pay their entry-level employees.
According to the Ministry of Human Resources’ “Guidebook of Starting Basic Salaries and Annual Salary Increment for Selected Sectors” the lowest paying job under the programme starts at RM1,810, for entry level pawnbrokers and moneylenders.
In the list, entry-level motorcycle riders and astrologers start at RM2,205.
The pilot project covers five economic sectors, namely manufacturing, construction, information and communication, professional scientific and technical activities and lastly, wholesale and retail trade; repair of motor vehicles and motorcycles.
Each employer in the manufacturing sector participating in the pilot project can select up to 200 workers for this pilot project, while employers in other sectors can select up to 100 workers. Do read here for a lot more details: Article in nst.com.my.
What’s the minimum salary to live comfortably?
Some years back, a friend mentioned that anyone working and staying in Kuala Lumpur would need RM4,000 salary at minimum. Else, they cannot survive. Well, I think we have a hug group who does not earn this salary and they are still working and staying in Kuala Lumpur today. So, I personally do not think RM4,000 is the minimum salary needed.
Anyone aspiring to earn much higher should also join roles which could pay higher based on how productive the person is. For example, delivery riders, real estate negotiators, insurance sales person and many more. However, one should not expect every job to provide a minimum base pay which is high enough to scare all future investors from investing in Malaysia since if it’s RM4,000 per month then they could hire more than double in some ASEAN countries yeah.
Happy understanding.
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