For F&B, retail and other shift-based businesses, the monthly figure is only the starting point. Managers must also know which rate applies to daily or hourly employees, whether allowances count towards minimum wage, and how scheduled hours flow into payroll.
This guide summarises official information available on 4 September 2026. It is general information, not legal advice. Check for a newer wage order and obtain professional advice for a specific employment situation.
What is the minimum wage in Malaysia in 2026?
The Minimum Wages Order 2024 sets a national monthly rate and official equivalents for daily and hourly work. The daily figure depends on the employee's agreed number of working days per week.
Monthly rate
RM1,700 per month.Six working days per week
RM65.38 per day.Five working days per week
RM78.46 per day.Four working days per week
RM98.08 per day.Hourly rate
RM8.72 per hour.Ringkasan Bahasa Melayu
Gaji minimum Malaysia pada tahun 2026 ialah RM1,700 sebulan. Kadar rasmi ialah RM65.38 sehari bagi enam hari bekerja seminggu, RM78.46 bagi lima hari, RM98.08 bagi empat hari, atau RM8.72 sejam.When did the RM1,700 minimum wage take effect?
The increase was phased in during 2025. By 2026 it applied across employer sizes, subject to the order and its exclusions.
1 February 2025
The RM1,700 rate began for employers with five or more employees and for employers carrying out professional activities classified under MASCO, regardless of workforce size.1 August 2025
The same rate extended to employers with fewer than five employees. Small-business status therefore does not create a lower minimum rate in 2026.Check before every future pay period
Minimum-wage orders can change. Payroll owners should verify the current government publication rather than treating this article as a permanent rate table.Who is covered by Malaysia's minimum wage?
The Ministry of Human Resources FAQ says the order covers employees in the private sector, including non-citizen employees, except domestic servants. Coverage still depends on the actual legal relationship and applicable law.
Part-time and hourly employees
A covered employee who is genuinely paid by the hour must receive at least RM8.72 for each ordinary hour. For example, 24 ordinary hours at RM8.72 equals RM209.28 before overtime, rest-day or public-holiday amounts.Foreign employees
Official guidance includes covered non-citizen employees. Immigration, accommodation, levy or sector obligations may also apply, but they do not replace the minimum-wage requirement.Job labels do not decide coverage
Calling someone a freelancer, trainee, apprentice or part-timer does not by itself remove employment obligations. Seek advice where the contract and actual working arrangement point in different directions.Basic wage, allowances and overtime are different
Clear payroll records help employers show which component meets the statutory floor and which amounts are additional earnings.
Minimum wage means basic wages
The statutory definition refers to basic wages, not allowances or other payments. Do not assume a meal allowance, attendance incentive, service charge, bonus or overtime payment can top up a lower basic wage to RM1,700.Gross and net salary are not the minimum wage
Gross salary generally includes basic salary plus applicable additional earnings before deductions. Net salary is what remains after lawful deductions. RM1,700 is not a guaranteed take-home amount.Minimum wage is not an overtime formula
Overtime depends on separate legal rules, the employee's ordinary rate of pay, normal hours, day type and statutory eligibility. Do not use RM8.72 as a universal overtime rate.Minimum-wage payroll checklist for employers
Before closing each pay period, confirm that:
- Every covered employee's basic wage meets the current monthly, daily or hourly minimum.
- The daily rate matches the employee's agreed working days per week.
- Part-time and hourly workers are not paid below the statutory hourly floor.
- Allowances, incentives and overtime are recorded separately from basic wages.
- Scheduled shifts, actual attendance and approved timesheets agree.
- Rest-day, paid-public-holiday and overtime hours are reviewed separately.
- Payslips and payroll records show how the final amount was calculated.
- The business has checked for a newer wage order or official update.
Software can apply configured rules and retain records, but the employer remains responsible for legal coverage, correct configuration and payroll approval.
Connect planned shifts to approved hours
StaffAny connects employee scheduling, time attendance and smart timesheets so shift-based teams can compare planned shifts with actual hours and review exceptions before payroll. Start with one representative pay period and reconcile every result before rollout.