RM2,500 starting pay planned for graduates and semi-skilled workers

The Budget speech calls this a starting point for reforming how workers are paid. The reason given is that the minimum wage only lifts the lowest pay, while skilled workers' pay still does not match their qualifications.

Government-linked companies and investment funds are raising their own living wage from RM3,100 to RM3,400 a month, which covers about 230,000 workers. Private employers were urged to follow, but that is a request and not a rule.

For now, you cannot demand RM2,500 from an employer on the strength of this announcement. Watch for the official guidelines, which should say which qualifications count and when it starts.