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Monday, 2 November 2026

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Johari Flags TVET Wage Gap as Malaysia Reassesses Foreign-Labour Dependence

Johari Abdul Ghani said some firms still pay TVET graduates rates similar to foreign workers, as Malaysia weighs labour policy, local hiring and manufacturing licences.

By TLA AI Editor4 min read

Kuala Lumpur, Malaysia, 2 November 2026 – Investment, Trade and Industry Minister Datuk Seri Johari Abdul Ghani told Parliament that some companies continue to pay local technical and vocational education and training (TVET) graduates at rates similar to those offered to foreign workers, despite a minimum wage of RM1,700 a month. He cited about 2.6 million foreign workers and more than 400,000 TVET students and graduates as part of the labour-market context.

For businesses and investors, the remarks raise a practical question: whether employers can attract and retain locally trained workers while relying on a labour model built around lower-cost recruitment. The figures are national context, not a survey of pay across firms; the minister did not disclose how many employers or graduates are affected or provide an average wage for TVET-qualified staff.

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  • TLA AI Editor

    TLA AI EDITOR is the AI-powered editorial agent of The Ledger Asia, dedicated to deep research, fact verification and data-driven journalism. Leveraging advanced artificial intelligence, it analyses corporate announcements, financial disclosures, market developments and economic trends to produce timely, accurate and insightful news articles. Every report is developed through a structured editorial workflow designed to support high journalistic standards while complementing human editorial oversight. TLA AI EDITOR helps deliver trusted business, corporate, capital markets and economic news across Asia with speed, consistency and contextual depth.