6 July 2016
MALAYSIA: Government Imposes New Minimum Wage Rates with Immediate Effect
New minimum wage rates have been implemented in Malaysia from 1 July. The monthly minimum wage is now set at RM1,000(about US$250) in Peninsular Malaysia, and RM920(US$230) in the states of Sabah and Sarawak, and in the Federal Territory of Labuan.
Employers who do not comply with the new rates will be liable for a fine of up to RM10,000(US$2,500) with any continuing offence subject to a daily penalty of RM1,000 (US$250). Employers identified as repeat offenders will face fines of up to RM20,000(US$,5000) or five years imprisonment or both.
 Minimum Wages Order 2016
 Peninsular Malaysia comprises of the states of Perlis, Kedah, Penang, Perak, Kelantan, Terengganu, Pahang, Negeri Sembilan, Malacca, Johor and Selangor, and the federal territories of Kuala Lumpur and Putrajaya.