Malaysia’s Median Wage Rises to RM3,167 in December 2025, Reflecting Steady Labour Market Growth
PETALING JAYA, April 30 — Malaysia’s formal sector continued to show resilience as the median monthly wage climbed to RM3,167 in December 2025, marking a 4.0 per cent increase from RM3,045 recorded a year earlier, according to the Department of Statistics Malaysia.
The latest data underscores a stable labour market environment, supported by consistent employment growth and improving wage levels across most sectors.
Steady Growth Backed by Employment Expansion
Chief Statistician Mohd Uzir Mahidin said the wage increase was aligned with continued expansion in formal employment, with the number of Malaysian workers rising 3.6 per cent year-on-year to 7.08 million in December 2025.
He noted that median wages recorded year-on-year growth of 4.3 per cent in October and November before moderating slightly to 4.0 per cent in December, indicating sustained upward momentum despite a challenging global economic backdrop.
The consistent growth reflects improving business activity and ongoing demand for labour in key sectors.
Gender Wage Gap Persists
Despite overall wage growth, disparities between male and female workers remain evident.
Male employees, who make up 55.1 per cent or 3.90 million of the formal workforce, recorded a median monthly wage of RM3,167.
In comparison, female workers, representing 44.9 per cent or 3.18 million, earned a slightly lower median wage of RM3,120.
While the gap is relatively narrow, it continues to highlight structural differences in earnings across gender lines.
Peak Earnings Among Mid-Career Workers
Workers aged between 45 and 49 years continued to command the highest median wages during the fourth quarter of 2025.
Their median income rose to RM4,245 in December, up from RM3,827 in October and RM3,845 in November, reflecting the premium placed on experience and seniority in the labour market.
Encouragingly, all age groups registered annual wage increases, with the strongest growth seen among workers below 20 years old.
This group experienced an 11.3 per cent rise in median wages to RM1,700, suggesting improving entry-level earnings.
Sectoral Differences Highlight Income Variations
Across industries, wage growth was recorded in all economic sectors, though significant disparities remain.
The mining and quarrying sector reported the highest median wage at RM7,900 in December 2025, despite employing only 0.5 per cent of the formal workforce.
At the other end of the spectrum, the agriculture sector recorded the lowest median wage at RM2,564, although it still posted a year-on-year increase of 7.6 per cent.
These differences reflect varying productivity levels, capital intensity and skill requirements across sectors.
Regional Wage Gaps Remain Evident
Geographically, wage disparities also persist across states.
Three regions recorded median wages above the national average of RM3,167 — Kuala Lumpur at RM4,391, followed by Penang at RM3,500 and Selangor at RM3,400.
Meanwhile, the lowest median wages were observed in Kelantan (RM1,800), Perlis (RM1,864) and Sabah (RM2,045), highlighting ongoing regional economic imbalances.
Income Inequality Still a Concern
The data also points to persistent income inequality within the labour market.
About 8.4 per cent of formal workers earned below RM1,700 per month in December 2025, a significant improvement from the previous year, with a reduction of 12.5 percentage points.
However, analysis by income percentiles shows that the top 10 per cent of earners received at least RM11,122 per month, more than six times the earnings of the lowest 10 per cent.
This disparity underscores the continued challenge of narrowing wage gaps while sustaining overall income growth.
Outlook for the Labour Market
The upward trend in median wages reflects positive labour market fundamentals, supported by steady job creation and improving economic conditions.
However, policymakers and stakeholders may need to focus on addressing structural issues such as wage inequality and regional disparities to ensure more inclusive growth.
-wilayah.com.my
