Abim urges safeguards for new RM2,500 minimum wage to protect existing worker benefits

In response to the Budget 2027 announcement, Abim’s Ahmad Fahmi Mohd Samsudin said the RM2,500 entry-level salary for graduates and semi-skilled workers must not come at the cost of existing benefits. He urged the government to specify which occupations, employers and timelines are covered to ensure workers truly gain from the policy. Fahmi also noted the upcoming RM2,000 minimum wage set for June 2027 and highlighted the need for clearer rules on the MSME exemption for firms with annual sales under RM50 million.

He called for a transition plan with targeted support to boost productivity without overburdening businesses. Additionally, Fahmi praised the joint government-Grab assistance package for platform workers but asked for broader coverage and protection across all gig platforms. He advocated for automatic EPF registration at age 18 to be paired with contribution aid for low-income youths and for housing and financing options that match borrowers’ repayment capacity.