PUTRAJAYA: Prime Minister Datuk Seri Anwar Ibrahim hopes the private sector will follow in the government's footsteps by raising wages.
He said a salary hike would alleviate the burden on employees.
“We hope the private sector (will consider) this, especially companies that record high profits,” he said briefly after the 19th Majlis Amanat Perdana Perkhidmatan Awam (Mappa) here on Friday (Aug 16).
He also said civil servants' wages following the raise would be higher than the current minimum wage of RM1,500.
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The Minimum Wage Order was enforced in May 2022.
Before that, the minimum wage was RM1,200.
Earlier in the day, Anwar announced a 15% pay raise for civil servants under the management and professional category and a 7% increase for those in upper management.
According to Anwar, the pay raise will be given to civil servants in two phases.
Separately, Human Resources Minister Steven Sim also echoed the Prime Minister’s call for the private sector to increase wages as a measure of appreciation for their employees' productivity and contributions.
“Companies are encouraged to join the progressive wage pilot project that is currently underway and aimed and improving wages, especially in small and medium enterprises,” he said in a statement on Friday.
Sim said his ministry has also received recommendations from the National Wage Consultative Council on the new minimum wage, adding that it was currently being prepared for Cabinet approval.