Topic
#salary
3 articles

Minimum Wage in Malaysia 2026: RM1,700 Today, RM2,000 From June 2027, and Who the SME Exemption Covers
Malaysia's minimum wage is RM1,700 a month for almost every employer, worth RM8.72 an hour. Budget 2027 raises it to RM2,000 from June 2027, but firms with sales under RM50 million are exempted for now. We read the gazetted order, the Act behind it and the Budget speech to show the daily and hourly rates, what counts as wages, what the exemption still leaves open and how to report an employer who underpays.

Overtime Pay in Malaysia 2026: 1.5x, 2x or 3x Your Hourly Rate, the RM4,000 Cut-Off and the 104-Hour Cap
Overtime in Malaysia is worked out from one number most payslips never show: your hourly rate, which for a monthly worker is salary divided by 26, then by your normal daily hours. From there the Employment Act sets 1.5x on a working day, 2x past normal hours on a rest day and 3x on a public holiday. Here is the formula with worked examples, who the RM4,000 cut-off excludes, and the 104-hour monthly cap.

Working on Malaysia Day 2026: What the Employment Act Pays You, and the RM4,000 Line That Switches It Off
Malaysia Day falls on Wednesday 16 September 2026, and it is one of only five public holidays the Employment Act 1955 makes compulsory by name. If your employer requires you to work that day, section 60D(3) says you get your holiday pay plus two days' wages at the ordinary rate, and it applies even if you work one hour. Overtime beyond your normal hours on that day is at least three times your hourly rate. But the First Schedule to the same Act switches section 60D(3) off entirely for anyone whose wages exceed four thousand ringgit a month, unless they fall into one of five listed categories, and the Act does not extend to Sabah or Sarawak at all. Here is the actual text, and where it stops applying.