Amidst a backdrop of progress and optimism this Labour Day, Minister of Human Resources Steven Sim Chee Keong stepped forward to reveal an ambitious RM2.56 billion skills training initiative that is set to revolutionize employment and wage equity throughout the nation.
This bold move, combined with a significant push to reassess and elevate the minimum wage, heralds a new era of prosperity for Malaysia's middle-income earners, sparking widespread enthusiasm and anticipation for the positive changes ahead.
During his address at the Labour Day celebration in Putrajaya Convention Centre, Sim painted a picture of an inclusive and technologically advanced future for Malaysian workers.
He detailed an extensive range of training programs stretching across high-demand sectors such as AI, robotics, 5G technology, computer coding, and essential green skills for the burgeoning green economy.
“Whether through brief courses spanning a few days or comprehensive long-term training, the government’s plan is crafted to accommodate every Malaysian's educational needs and professional aspirations,” he said.
"Our goal is to break down barriers to advanced learning and ensure that every course, from face-to-face sessions and on-the-job training to digital classes, is accessible to all," explained Sim.
He emphasised affordability and flexibility in the new educational offerings: "We have structured the courses to cater to everyone’s needs—there are paid courses at affordable prices, and opportunities for funding through HRD Corp levies, PTPK loans, KESUMA grants, and even some free options."
Complementing the training initiative, a pioneering progressive wage policy is set to begin as a pilot project in June, with an initial focus on 1,000 companies and an investment of RM50 million.
This policy, according to Sim, aims to directly impact over a million workers by enhancing their wage conditions, signalling a transformative approach to salary structures that extends beyond mere minimum wage adjustments.
These bold measures follow a decade-long observation that demonstrated significant economic uplift for low-income earners due to previous wage adjustments, yet also highlighted the inadequacy of current scales for those in the middle-income bracket. In response, the government is poised to reevaluate and redesign wage frameworks to foster a more supportive economic environment.
“Aligned with the Ministry’s strategic mission to uplift every worker's welfare, skills, and success, these initiatives are integral to the broader economic strategies endorsed by the PMX. As Malaysia celebrates a historic high in employment numbers—reaching 16.51 million—the nation is steering towards an era of enhanced skills, equitable wages, comprehensive social security, and refined governance,” he said.
"As long as you are ready to advance your skills, the Civil Government is committed to unlocking every possibility for you, paving the way for prosperity across all walks of life."
Meanwhile, at the event, Prime Minister Datuk Seri Anwar Ibrahim launched the National Human Resources Policy framework, which comprises three cores and 11 strategies.
This framework, developed after considering feedback from stakeholders and the public through engagement sessions, focus group discussions, and online surveys, addresses crucial issues related to workers such as fair compensation, job welfare, labour union movements, job mismatches, and foreign labour.
“This framework will further serve as a guide in formulating the comprehensive National Human Resources Policy for the 13th Malaysia Plan,” explained Sim.
Moreover, Anwar announced a historic civil servant remuneration increase of over 13%, involving more than RM10 billion, effective from December 2024. He detailed that the minimum income for public servants is set to exceed RM2,000 per month, a significant rise from the current RM1,795.
The Prime Minister has acknowledged significant progress following extensive discussions led by the Ministry of Human Resources, which have successfully resolved longstanding deadlocks and achieved a consensus regarding the Sabah and Sarawak Labour Ordinance.
This development will see the Sabah Labour Ordinance (Ordinance Cap.67) and the Sarawak Labour Ordinance (Ordinance Chapter 76) being amended to align with the Employment Act 1955, currently enforced in Peninsular Malaysia. The proposed Sabah Labour Ordinance (Amendment) Bill 2024 and the Sarawak Labour Ordinance Bill are slated for presentation in the upcoming session of Parliament.
These amendments align with the International Labour Convention and the recent updates to the Employment Act 1955 (Amendment) 2022, aimed at enhancing protections and benefits for both employers and employees.
Currently, employment in Malaysia is governed under three distinct pieces of legislation: the Employment Act 1955 for Peninsular Malaysia, the Sabah Labour Ordinance 1950 for Sabah, and the Sarawak Labour Ordinance 1952 for Sarawak. These reflect the historical and administrative distinctions dating back to the formation of the Federation of Malaysia in 1963.
Sim emphasised that with these comprehensive initiatives underway, Malaysia is strategically paving the way for a future where its workforce is not merely well-prepared but truly flourishing.
These efforts are guided by forward-thinking policies and a government committed to fostering equitable growth and embracing technological innovation. By prioritising skills development, wage reform, and enhanced labour protections, Malaysia is establishing a robust foundation for a dynamic, resilient economy where every citizen has the opportunity to succeed and contribute meaningfully.
“This vision for the future signifies a strong commitment to ensuring that the nation's growth is sustainable, inclusive, and reflective of the aspirations of all its people.”
This article was provided by Human Resource Development Corporation (HRD Corp).
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