SHAH ALAM – The implementation of the new RM1,700 minimum wage, which took effect last Saturday, has brought some relief to those working in the private sector.
However, it has also raised concerns and sparked various reactions, especially as the starting salary for those with a Sijil Pelajaran Malaysia (SPM) qualification was now approaching that of graduates from higher education institutions.
Fast food restaurant employee Siti Nur Ain Azhar, 26, said the minimum wage increase was unfair to IPT graduates who held a degree, as they have various skills compared to SPM graduates.
"Although I work in the food and beverage sector with a salary of RM1,800 a month, I have a bachelor's degree in another field and completed my studies in 2024. Now, I am struggling to find another permanent job.
"I've seen job portals where most of the salaries offered to graduates like me are mostly below RM3,000. So, the gap with the minimum wage, especially for SPM graduates, feels unfair to us.
"This is because graduates possess various skills, experience and the ability to solve problems practically and effectively. We even had to spend several years completing our studies to earn a degree, yet the wage difference is very small," she said.
Another graduate, Abdul Rahim Minhat, 25, who now works as a teacher said the minimum wage increase needed to be reviewed and adjusted so that it does not disadvantage any group and aligned with education levels.
He said the government should consider increasing the starting salary for graduates who were just starting their careers due to the various skills and knowledge they possessed.
"I've just started working with a salary of RM3,200. So, for me, it's not a problem to raise the minimum wage given the high cost of living now.
"I hope that with the increase in the minimum wage, the government will also raise the starting salary for fresh graduates," he added.
In Kuala Terengganu, civil servant Ahmad Imran Muhamad, 28, expressed concern that the wage disparity could lead to many graduates, especially those with higher qualifications, to lose motivation to work or decide to migrate abroad in search of a better pay.
"If they are not rewarded fairly for their efforts and qualifications (graduates), it is as though their investment in education and energy has been wasted. I see this as a challenge that the government needs to address urgently.
"If left unaddressed, we risk losing the best talents and undermining our economic competitiveness in the long term," he said.
He added that the issue needed to be viewed comprehensively to ensure that graduates were not left behind with low salary scales, with some still starting from RM2,200 to RM2,400.