Lim Guan Eng has said foreign workers should not be included in Malaysia's minimum wage increase, and he wants the EPF levy on them removed, according to malaymail.com. The report was published on Tuesday, 29 September 2026.
The call comes as Malaysia weighs a new minimum wage. Human Resources Minister V. Sivakumar has said no decision has been made on the matter, The Edge Malaysia reports.
Wage policy is under active debate. Malaysia's median monthly wages rose 5.3 per cent in 2025, with the mining sector leading pay, according to hrsea.economictimes.indiatimes.com. MCA has argued that sustainable wage growth must be supported by productivity and value creation, Focus Malaysia reports. The Sun Malaysia, meanwhile, has called for a bold "good jobs" vision for the country.
Guan Eng's proposal touches two separate policies: the wage floor and the mandatory retirement savings contribution for foreign workers. The material above does not set out his full reasoning, so his remarks are best read as a position on how the wage hike should be applied rather than a detailed plan.
What to watch next is whether the government accepts the exclusion of foreign workers from the minimum wage and whether it moves to repeal the EPF levy, given the HR minister's statement that no decision has yet been reached.
