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Median Wage Rises To RM3000 In March As Labour Market Strengthens

Median Wage Rises To RM3000 In March As Labour Market Strengthens

BusinessToday9 hours ago
Malaysia's formal sector labour market continued its recovery in early 2025, with the median monthly wage reaching RM3,000 in March, a 5.5% increase from RM2,844 in the same month last year. The growth in wages was supported by steady employment gains and government wage policies, including the upward revision of the minimum wage.
According to the Department of Statistics Malaysia (DOSM), formal sector employment expanded by 3.6% year-on-year in March, with earlier gains of 3.1% in January and 3.4% in February, reflecting consistent momentum across the first quarter of 2025.
Of the 6.8 million formal employees, the report showed males accounted for 55.1% (3.7 million), earning a median wage of RM3,000, while females made up 44.9% (3.04 million) with a slightly lower median wage of RM2,982. Wage growth was stronger among women, rising by 6.5%, compared to 3.4% for men, indicating gradual progress in closing the gender wage gap.
Wages rose across all age groups, with the most notable increase among employees under 20, whose median wage surged by 13.3% to RM1,700. However, employment numbers declined slightly in the 20–24 age bracket, bucking the positive trend seen in other age groups.
DOSM noted that the Mining & Quarrying sector continued to offer the highest remuneration, with a median wage of RM8,800, despite employing just 0.6% of the workforce. This marked a 4.8% year-on-year rise. At the other end of the spectrum, the Agriculture sector recorded the lowest median wage at RM2,200, covering 1.9% of formal employees.
Geographically, Wilayah Persekutuan Kuala Lumpur topped the wage scale with a median of RM4,445, followed by Selangor at RM3,300. In contrast, Sabah (RM2,000), Kelantan (RM1,800), and Perlis (RM1,800) had the lowest median monthly wages in the country.
While wage levels rose, income distribution remains a point of concern. As of March 2025:
27.4% of formal employees earned below RM2,000, down from 31.2% in March 2024, suggesting modest progress in reducing low-income prevalence.
The 10th percentile earned RM1,700 or less, but this marked a 13.3% increase compared to RM1,500 a year ago.
The 90th percentile of high-income earners made RM11,000 or more, up 4.8% year-on-year.
The upward trend in wages and employment signals a healthier labour market environment, underpinned by robust economic growth and proactive policy measures. Related
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