{
  "id": 13107552,
  "title": "More support needed to help MSMEs implement new minimum wage, says group",
  "url": "https://urgent.news/2026/10/09/more-support-needed-to-help-msmes-implement-new-minimum-wage-says",
  "topic": "business",
  "section": "Business",
  "published": "2026-10-09T11:15:00.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today-freemalays",
    "url": "https://www.freemalaysiatoday.com/category/nation/2026/10/09/more-support-needed-to-help-msmes-implement-new-minimum-wage-says-group"
  },
  "original_language": "en",
  "account": "Following the tabling of the 2027 budget proposals, the Malaysian Industrial Commercial Service Employers Association (Micsea) has called for additional government initiatives to assist micro, small and medium enterprises (MSMEs) in implementing the new minimum wage of RM2,000, set to commence next June. Despite welcoming the exemption from the wage increase for MSMEs with an annual turnover below RM50 million, Micsea proposed a temporary wage-related tax rebate or wage offset for firms in the RM50 million to RM100 million turnover range. This proposal aims to alleviate the \"cliff-edge\" effect, in which companies with similar workforces, margins, and business models may face significantly different regulatory obligations due to their turnover thresholds. Micsea also suggested that the RM2,500 minimum salary for semi-skilled workers and graduates not be a uniform requirement for all positions, but rather linked to certifications, qualifications, job complexity, and professional certifications. The Malaysian Employers Federation (MEF) urged the government to clarify the assessment of the RM50 million annual sales threshold, including the relevant financial year, treatment of related companies, and the application of the exemption to various business structures. MEF emphasized the need for businesses, particularly MSMEs, to have different financial capacities and suggested complementary measures such as productivity incentives, digitalisation, skills development, and measures to reduce business costs. Prime Minister Anwar Ibrahim announced that MSMEs with annual sales below RM50 million would be exempted from the new minimum wage, allowing them time to adjust their business models, while over four million workers will benefit from the wage increase.",
  "summary": "The Malaysian Industrial Commercial Service Employers Association proposes a temporary tax rebate or wage offset in the first year for firms with a RM50 million to RM100 million turnover.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "More support needed to help MSMEs implement new minimum wage, says group",
        "url": "https://urgent.news/2026/10/09/more-support-needed-to-help-msmes-implement-new-minimum-wage-says-13111083",
        "published": "2026-10-09T11:15:00.000Z"
      }
    ]
  },
  "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."
}