Malaysia’s median monthly salary for formal employees rose to RM3,167 by the end of 2025, marking a 4% year-on-year (YoY) increase.
According to data released by the Department of Statistics Malaysia, while overall wages are growing steadily, the data also highlights a significant income gap between highest and lowest-paid workers.
High-income earners making nearly 6 times more
The lowest 10% of employees earned RM1,700 or less per month, while the top 10% took home at least RM11,122 monthly.
This means high-income earners are making about 554% more, or nearly six times, compared to those at the bottom, underscoring a persistent income disparity.
On a slightly positive note, the proportion of workers earning below RM1,700 has shrunk to 8.4%, a notable improvement from December 2024, suggesting that the lowest-income group is gradually decreasing.
Young worker’s median income remains the lowest
Despite salary increases across all age groups, younger workers face a mixed reality.
Employees under 20 years old recorded the highest salary growth at 11.3% year-on-year in the final quarter, but their median income remains at just RM1,700, making them the lowest-paid group overall.
Meanwhile, workers aged 45 to 49 earned the highest median salaries, ranging from RM3,827 in October to RM4,245 in December.
Median salaries grew consistently
Chief Statistician Datuk Seri Mohd Uzir Mahidin noted that median salaries grew consistently in the last quarter of 2025, with increases of 4.3% in October and November, and 4% in December.
At the same time, Malaysia’s labour market continued expanding, with the number of formal employees rising 3.6% year-on-year to 7.08 million.
Men made up 55.1% of the workforce, or 3.9 million people, while women accounted for 44.9%, or 3.18 million.
In terms of pay, men had a slightly higher median monthly salary of RM3,167 compared to women at RM3,120.
Chinese employees have the highest median salary
By ethnicity, Chinese employees recorded the highest median monthly salary at RM4,767 in December 2025. This was followed by Indian employees at RM3,120, Bumiputera employees at RM2,627, and other ethnic groups at RM2,364.
Kuala Lumpur recorded the highest median salary at RM4,391, followed by Penang at RM3,500 and Selangor at RM3,400.
In contrast, Kelantan at RM1,800, Perlis at RM1,864, and Sabah at RM2,045 recorded the lowest median wages.
The mining and quarrying sector offered the highest median salary at RM7,900 in December, despite employing only about 0.5% of the workforce.
The agriculture sector recorded the lowest median salary at RM2,564, accounting for roughly 1.8% of employment, although it still saw a 7.6% year-on-year increase.
While Malaysia’s overall wage growth shows steady improvement, the gap between top and bottom earners remains wide, highlighting ongoing concerns about income inequality.
