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Post by : Shakul
Malaysia’s formal sector has recorded steady wage growth, with the average monthly salary reaching RM3,167 in December 2025. The increase reflects positive momentum in the country’s labor market and overall economic recovery.
The data was released by Department of Statistics Malaysia (DOSM) in its latest quarterly report. According to the report, the wage increase represents a rise of about four percent compared to the same period in the previous year.
The growth in wages is supported by an increase in formal employment. The number of workers in the formal sector rose to over seven million, showing a consistent expansion of job opportunities across different industries.
Throughout the final quarter of 2025, wages showed a steady upward trend. Monthly income levels increased gradually over the months, indicating stable economic conditions and improved demand for skilled labor.
Despite the overall growth, differences in wages between male and female employees remain visible. Male workers continue to represent a larger share of the workforce and earn slightly higher average wages compared to female employees.
There are also noticeable differences in wages across different groups and communities. Income levels vary depending on factors such as industry, experience, and regional economic conditions, highlighting the diversity within the workforce.
Age also plays a role in determining wages. Workers in the mid-career age group recorded the highest earnings, while younger workers saw the fastest growth in wages, showing improving opportunities for new entrants into the job market.
Looking at different industries, sectors such as mining and quarrying reported the highest wages, while agriculture recorded lower income levels despite showing growth. This reflects the varying economic value and productivity of different sectors.
Regional differences are also significant. Major urban centers such as Kuala Lumpur, Pulau Pinang, and Selangor recorded higher wage levels compared to other states. Meanwhile, some regions continue to have lower average wages, pointing to uneven economic development.
Overall, the report highlights a positive trend in Malaysia’s employment and wage growth. While challenges such as income disparity remain, the steady rise in wages suggests that the country’s economy is moving in a stable and improving direction.
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