Kuala Lumpur - The government is committed to strengthening workers’ position by targeting a minimum monthly salary of RM3,000 by 2030 through comprehensive labour market reforms.
Human Resources Minister, Datuk Seri R. Ramanan said the effort will be implemented under the 13th Malaysia Plan, which focuses on creating a more dynamic, sustainable, and competitive employment ecosystem.
He said the government aims to establish a new social contract between employers and workers to ensure fair sharing of benefits.
“In this contract, we reject the old model that allows profits to accumulate or circulate on one side while risks are transferred to the weakest party,” he said when speaking at the 2026 Labour Day celebration on May 1.
The event was officiated by Prime Minister Datuk Seri Anwar Ibrahim.
Ramanan added that, apart from the wage target, the government also aims for employee compensation to reach 40 per cent of Gross Domestic Product (GDP) to improve workers’ well-being.
At the same time, he said Malaysia intends to shift from being a technology user to becoming a leader, especially in artificial intelligence (AI).
“We want the label 'Made by Malaysia' to appear on integrated circuits and AI software worldwide, no longer as users but as creators of technology.
“Therefore, the Ministry of Human Resources will establish the Kesuma Semiconductor Academy to train talent in chip design and AI manufacturing,” he said.
He stressed that the government will continue to monitor the impact of geopolitical developments on the labour market and is ready to take action to protect workers’ welfare and ensure industry sustainability.

Reader Conversation