Don’t exploit RM2,000 minimum wage, Fomca urges bosses

The Federation of Malaysian Consumers Associations has warned businesses not to exploit the new minimum wage of RM2,000 to unreasonably raise prices. The increase, announced in the 2027 budget tabled by Prime Minister Anwar Ibrahim, is set to benefit over four million workers. However, Fomca chief executive T Saravanan urged the government to monitor prices to ensure that the wage increase does not offset its benefits due to rising living costs.

Fomca supports the wage rise but questions the exemption criteria for small businesses. The Consumers Association of Penang echoed this sentiment, stating that while the increase is an improvement, it remains too low to meet workers' living expenses. They emphasized the need for additional measures to control inflation and monitor prices to ensure that the wage increase benefits workers without burdening them with higher living costs.