{
  "id": 10907144,
  "title": "ACCCIM welcomes minimum wage exemption for MSMEs, says move offers relief to 1.3 million firms",
  "url": "https://urgent.news/2026/09/30/acccim-welcomes-minimum-wage-exemption-for-msmes-says-move-offers",
  "topic": "world",
  "section": "World",
  "published": "2026-09-30T08:58:44.000Z",
  "source": {
    "name": "Malay Mail",
    "slug": "malay-mail-malaymail",
    "url": "https://www.malaymail.com/news/money/2026/09/30/acccim-welcomes-minimum-wage-exemption-for-msmes-says-move-offers-relief-to-13-million-firms/237146"
  },
  "original_language": "en",
  "account": "KUALA LUMPUR, Sept 30 — The ACCCIM has welcomed the government's decision to temporarily exempt micro, small and medium enterprises (MSMEs) from an upcoming minimum wage increase, providing relief to approximately 1.3 million businesses. ACCCIM president Datuk Ng Yih Pyng highlighted that MSMEs have faced multiple cost hikes in recent years against a backdrop of a challenging business environment and increased competition from foreign firms. The exemption will offer timely financial relief to these 1.3 million MSMEs, Ng stated.\n\nThe Cabinet agreed to this exemption, as announced by Entrepreneur and Cooperatives Development Minister Steven Sim during a recent cabinet meeting. Ng emphasized the importance of balancing worker income improvements with the viability of smaller businesses, warning that a one-size-fits-all wage increase could lead to staff cuts or closures for some small enterprises. He advocated for a wage system that considers productivity, performance, sector-specific financial capacity, and broader economic conditions.\n\nACCCIM also endorsed a productivity-linked wage system, which ties worker pay more closely to output, performance, or company profits, rewarding productivity and aligning employee incomes with company profitability. The chamber further supports the government's consideration of additional wage-raising methods for MSME workers, such as subsidies under the Progressive Wage System (PWS). The PWS, a voluntary incentive-based program, has already benefited 51,363 workers, exceeding its initial target of 50,000 workers, with over RM73 million disbursed, primarily to entry-level and non-entry-level employees.\n\nACCCIM reiterated its call for a tiered regional minimum wage system instead of a single nationwide rate, arguing that wage levels should account for regional differences in living costs, socioeconomic conditions, and economic development. A regional approach could allow for higher wages in more expensive areas while alleviating pressure on low-margin businesses in economically weaker regions. Currently, Malaysia's minimum wage is RM1,700 a month, introduced on February 1, 2025 for businesses with five or more employees and taken full effect for all employers by August 1, 2025.",
  "summary": "KUALA LUMPUR, Sept 30 — The Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) has welcomed...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 6,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "MSMEs exempted from further minimum wage increases for now",
        "url": "https://urgent.news/2026/09/30/msmes-exempted-from-further-minimum-wage-increases-for-now",
        "published": "2026-09-30T06:54:00.000Z"
      },
      {
        "outlet": "Malay Mail",
        "title": "ACCCIM says RM1,900 an ‘appropriate’ minimum wage, warns steeper hike could hurt MSMEs",
        "url": "https://urgent.news/2026/09/30/acccim-says-rm1-900-an-appropriate-minimum-wage-warns-steeper-hike",
        "published": "2026-09-30T06:56:53.000Z"
      },
      {
        "outlet": "The Vibes",
        "title": "MSMEs exempted from new minimum wage rate hike – Minister",
        "url": "https://urgent.news/2026/09/30/msmes-exempted-from-new-minimum-wage-rate-hike-minister",
        "published": "2026-09-30T07:42:00.000Z"
      },
      {
        "outlet": "Malaysiakini",
        "title": "Cabinet exempts MSMEs from new minimum wage hike, for now",
        "url": "https://urgent.news/2026/09/30/cabinet-exempts-msmes-from-new-minimum-wage-hike-for-now",
        "published": "2026-09-30T07:42:29.000Z"
      },
      {
        "outlet": "New Straits Times",
        "title": "MSMEs exemption from minimum wage hike will give businesses 'breathing room'",
        "url": "https://urgent.news/2026/09/30/msmes-exemption-from-minimum-wage-hike-will-give-businesses-breathing",
        "published": "2026-09-30T10:46:20.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}