KUALA LUMPUR: Redefine the high-income group now known as the T15 to include only those earning above RM30,000 a month, the Dewan Rakyat has been told.
Sibu MP Oscar Ling made the proposal in response to the government’s plan to withdraw subsidies for petrol, education and public healthcare for those in that category.
He argued that the threshold for defining high-income earners needs to be revised, taking into account the rising cost of living due to inflation.
“I believe the definition of high-income earners should be realigned, and it would be more appropriate if those earning over RM30,000 are classified as such,” he said when debating the Supply Bill 2025 in the Dewan Rakyat here yesterday.
Revise threshold: Ling call for review of T15 definition.He said that current economic conditions, particularly inflation, must be considered when categorising household income groups.
“With the high cost of education in private institutions and rising healthcare costs, categorising those earning below RM30,000 as high-income would place an undue burden on them,” he added.
Ling urged the government to rethink the classification, considering how the high cost of living affects different income brackets, particularly those whose earnings fall just below the RM30,000 mark.
These individuals, he argued, might struggle to cope with educational and healthcare expenses without subsidies.
Ling also said implementation of the minimum wage should be more nuanced across different regions of the country.
The minimum wage is set at RM1,700 but he noted that socioeconomic conditions vary widely between regions, particularly in Sarawak.
“I hope the government will consider the socioeconomic differences between regions when implementing the minimum wage of RM1,700.
“In many parts of Sarawak, there are few economic activities, and enforcing the minimum wage in these areas may lead to higher unemployment as businesses might reduce their workforce to cut costs,” Ling said.
He suggested the government adopt a tiered approach to the minimum wage, with different rates for urban, suburban and rural areas to reflect the unique economic realities of each region.
Revise threshold: Dr Wee call for review of T15 definition.“Malaysia not only has diversity in terms of race and religion but also in socioeconomic conditions that differ significantly across regions,” he said, emphasising the importance of tailored economic policies to ensure they benefit all Malaysians equitably.
On Saturday, MCA president Datuk Seri Dr Wee Ka Siong said it is unfair to categorise individuals in the top 15% income group (T15) as “ultra rich” based solely on their household earnings.
Dr Wee, who is also Ayer Hitam MP, said the T15 group includes people who are not millionaires, and some not even particularly wealthy.
“Take, for example, a married couple who are both teachers at the DG48 level, having taught for 15 years, with a combined income of around RM14,000 a month. They own a house, two cars and have three children.
“Similarly, a couple who are both civil servants or PTD officers are also classified as T15 ultra-wealthy. Is this logical?” he asked.
Dr Wee also said those working in statutory bodies or government-linked companies (GLCs), where salaries are typically higher than in the government sector, can also be considered as part of the T15 group.
He said according to the Household Income Survey and Household Income and Expenditure Survey in the open data system by the Statistics Department, as of 2022, T15 starts with a household income of RM13,925 and above.
