KUALA LUMPUR — Employers should not use the RM1,700 monthly minimum wage under the Minimum Wage Order (MWO) as the benchmark for starting salaries for graduates or new entrants to the workforce, Human Resources Minister Steven Sim said today.

According to Astro Awani, he said the misconception must be corrected, noting that the minimum wage serves only as a “safety net” for the most basic and low-skilled jobs.

“I always say the minimum wage is not a starting salary.

“It is unreasonable for university graduates to assume their starting pay should be around RM1,700 when that rate is set for the most basic roles,” he said in a speech at the signing of the 14th Collective Agreement (CA) between Genting Malaysia Berhad (GENM) and the Genting Malaysia Employees Union at Wisma Genting here.

Sim said the ministry has introduced sector-based wage guidelines as an official reference for employers and employees during salary negotiations.

The guidelines outline starting salary scales for various professions — including civil engineers, graphic designers and journalists — who should naturally earn above the minimum wage.

“These guidelines are not mandatory, but they help negotiations. Fresh graduates attending interviews will have an idea of their salary range and won’t be misled.