2027 budget must address low graduate wages, says ex-deputy minister

The 2027 budget must address low starting salaries for graduates while supporting small and medium-sized enterprises (MSMEs), according to former deputy education minister P Kamalanathan. In a statement, Kamalanathan emphasized that the government should measure the budget not only by the amount of financial assistance provided but also by its impact on the value of work and wages.

He proposed measures such as covering 50% of the wage increase for MSMEs raising graduate salaries from RM1,700 to RM2,200 for a year, estimated to cost around RM800 million. Additionally, he suggested using savings from the rationalisation of targeted RON95 subsidies to support wage increases. Kamalanathan also advocated for prioritising skills development by providing every Form 5 and TVET student with a government-funded AI learning-tool subscription, estimated at RM200 million for two million students, and proposing a RM50 million matching grant for community-based revolving education funds.

Brief written by urgent.news from Free Malaysia Today's own syndicated text. Machine-written — may contain errors; check the original before relying on it.