Salary Watch 2020:: Malaysia
Salary Watch 2020:: Malaysia
Salary Watch 2020:: Malaysia
Table of Contents
Table of Contents 3
Malaysia
Overview 5
Key Trends 7
Job Market Trends 8
Salary Data 12
References 41
About RGF 42
4 RGF Salary Watch: Malaysia
Overview of
Malaysia
RGF Salary Watch: Malaysia 5
A Focus on Digitalization
LABOR MARKET SIZE GDP
22.4 USD370
MILLION1 BILLION2
FDI PMI
USD7.5 504
BILLION3
(Key Index 2019)
Since 2018, Malaysia has been setting the groundwork to digitize and become a smart nation5.
In turn, the country has garnered interest from international businesses looking to move into the
region – especially in the technology and industrial sectors. As these companies set up shop,
they are looking to hire talent with niche, technical and digital skills.
With the outbreak of COVID-19, Malaysia experienced limited export growth in the first quarter
of the year due to its close business partnerships with Mainland China. This led to a revision of
its economic forecast by the World Bank, moving from an outlook of 4.6% GDP growth to 4.5%
as of Feb 20206. When the virus began to spread throughout Malaysia, the government ordered
a nationwide lockdown beginning March 18th. Though this pause in productivity will impact the
economy throughout the first half of the year, the stimulus package passed by the government
should help keep the economy afloat, and it is expected that GDP growth will rebound in the
near future7.
Once workforce productivity is back to normal in Malaysia, the rapid pace of Industry 4.0
adoption is expected to resume, with automation driving transformation across many sectors,
as well as driving up demand for tech-savvy job candidates.
6 RGF Salary Watch: Malaysia
”
New Wage Regulations are Great for Employees,
Worrisome for Employers
The combination of the minimum wage increase that was put into place by the government in
February 2020 and the very quick spread of COVID-19 that led to a movement control order
has significantly impacted Malaysian businesses. These factors have certainly driven company
stakeholders to be more cost-conscious, and leaders have learned and leveraged the current
situation to restructure their businesses and adapt to the new norm.
Because of the rapid changes that have been made to combat the global pandemic, the
economic outlook for the region has changed drastically for the first time in many years. This
means employees may not receive the annual salary increment they are accustomed to, and
job seekers may not be offered compensation packages as per market practices in the past.
What’s more, the volatility of the market has led to a slowdown in hiring as well as hiring
freezes – though the job market will pick back up eventually, it could be quite so time before
companies feel secure enough to bring in new employees. Because of the sudden economic
downturn, the Malaysian government introduced the Prihatin Rakyat Economic Stimulus
Package (ESP), a series of short-term measures meant to help ease the financial burdens of
Malaysians and the business community.
The outbreak will change careers and the lives of many of us for the foreseeable future,
therefore we anticipate the employment market and what are considered hot jobs will be
skewed towards sectors that will help the business community adapt to the new norm.
Because of this, it is likely there will be a rise in the need for new skill sets that include
”
specialized knowledge and experience in sophisticated technology such as artificial
intelligence, cybersecurity, and data analysis.
Ai Ling Lee
Managing Director,
RGF Executive Search Malaysia
RGF Salary Watch: Malaysia 7
Key Trends
Employers’ Annual Salary Employees’ Salary
Increment Range Increment Expectations
32%
when they
8%8 change employers9.
(Data given was collected by RGF before February 2020)
80%
74%
53%
PERFORMANCE- GUARANTEED PROFIT-SHARING
BASED BONUSES REMUNERATION, SCHEME SUCH
SUCH AS A FIXED AS STAFF EQUITY
BONUS AND
ALLOWANCE
Job Market
Trends
RGF Salary Watch: Malaysia 9
Talent Trends
When candidates in Malaysia are evaluating whether or not to accept an offer, they look at much
more than just the salary offered. What’s more, Malaysian talent rate the opportunity to expand
their knowledge and skills as slightly more important than salary, which comes in as the second
most important factor in considering a job offer. In addition, they also consider the position title
and responsibilities, whether or not they can grow with the company, the type of leadership style
and the level of work-life balance they would be afforded. Employers looking to both attract and
retain talent would be wise to offer a healthy mix of these benefits in compensation packages11.
Hot Jobs
Industrial Financial Services
Smart Manufacturing • Audit & Compliance
• Application Engineering • Equity Research
• Manufacturing, Production & • Fund Management
Operations • FX/Commodities
• Project Management • Internal IT
• Quality Management • Investment Banking
• Sales & Marketing • Investment Portfolio Management
• Senior Management • Legal
• Supply Chain • Private Equity
• Relationship Management
Technology, Internet & • Risk Management
Telecommunications • Treasury
Malaysia
Salary Data
Key Finding
“As the shared services and
outsourcing sector gains momentum
throughout Malaysia and industrial
processes become more data-
driven and enabled by automation,
experienced production managers
can earn upwards of US$80,000, and
quality management directors could
take home a salary worth more than
USD150,000.
RGF Salary Watch: Malaysia 13
SME - - - -
SME 18 30 72 120
R&D
Global MNC 18 24 72 96
SME 12 18 48 72
Global MNC 15 18 60 72
SME 12 15 48 60
SME 12 18 48 72
14 RGF Salary Watch: Malaysia
SME 18 25 72 134
SME 12 16 48 100
SME 9 12 36 84
Global MNC 6 8 24 67
SME 6 8 24 67
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
16 RGF Salary Watch: Malaysia
Senior Management VP 20+ Large Local/Global MNC HQ 195 300 780 1200
SME 18 25 72 101
SME 17 23 66 92
SME 20 27 78 109
RGF Salary Watch: Malaysia 21
SME 20 27 78 109
SME 20 27 78 109
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
22 RGF Salary Watch: Malaysia
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
RGF Salary Watch: Malaysia 27
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
RGF Salary Watch: Malaysia 29
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
30 RGF Salary Watch: Malaysia
SME 24 34 96 134
Medical
Global MNC 60 108 240 432
SME 12 17 48 67
SME 24 34 96 134
SME 12 17 48 67
SME 24 34 96 134
Global MNC 15 21 60 84
Non-
3-5 Large Local/Global MNC HQ 12 17 48 67
management
SME 12 17 48 67
Sales & Marketing Manager 10-15 Large Local/Global MNC HQ 36 50 144 202
SME 24 34 96 134
Global MNC 15 21 60 84
Non-
3-5 Large Local/Global MNC HQ 12 17 48 67
management
SME 9 13 36 50
Global MNC 17 23 66 92
Non-
3-5 Large Local/Global MNC HQ 15 21 60 84
management
SME 9 13 36 50
32 RGF Salary Watch: Malaysia
Global MNC 14 19 54 76
Non-
8-10 Large Local/Global MNC HQ 15 21 60 84
management
SME 11 15 42 59
SME 9 13 36 50
Global MNC 6 8 24 34
Non-
management 3-5 Large Local/Global MNC HQ 6 8 24 34
SME 6 8 24 34
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
RGF Salary Watch: Malaysia 33
SME 13 19 50 76
SME 20 27 78 109
Global MNC 15 21 60 84
SME 13 18 50 70
SME 15 21 60 84
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
36 RGF Salary Watch: Malaysia
SME 23 41 90 162
SME 20 27 78 109
SME 23 32 90 126
SME 20 27 78 109
SME 23 32 90 126
SME 23 32 90 126
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
RGF Salary Watch: Malaysia 39
Corporate Services
ANNUAL SALARY RANGE ANNUAL SALARY RANGE
YEARS OF (UNIT: 1,000 IN USD) (UNIT: 1,000 IN RM)
FUNCTION POSITION COMPANY TYPE
EXPERIENCE
MIN MAX MIN MAX
Global MNC 95 171 380 684
CHRO 20+
Large Local/Global MNC HQ 90 162 360 648
SME 14 19 54 76
Global MNC 18 23 72 90
Non-
3-5 Large Local/Global MNC HQ 14 18 54 72
management
SME 9 13 36 50
SME 15 21 60 84
Global MNC 11 15 42 59
Non-
5-8 Large Local/Global MNC HQ 11 15 42 59
management
SME 9 13 36 50
40 RGF Salary Watch: Malaysia
SME 24 45 96 180
= Hot jobs
• Definition of annual salary range refers to basic salary, not include allowance, stock, bonus or any other additional benefits.
• Exchange rate: USD1 = RM4
RGF Salary Watch: Malaysia RGF Salary Watch: Malaysia 41
References
1. Calculation based on 68.7% labour force participation rate and a population of 32.58 million.
Labour Force Rate: https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=126&bul_id=TlVMbEtBVXBGTi80VjdqZ-
1JUd-VRHdz09&menu_id=U3VPMldoYUxzVzFaYmNkWXZteGduZz09
Population: https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=155&bul_id=aWJZRkJ4UEdKcUZpT2tVT090Snpy-
dz09&menu_id=L0pheU43NWJwRWVSZklWdzQ4TlhUUT09
2. As of 2019 https://tradingeconomics.com/malaysia/gdp
3. As of 2019 https://www.dosm.gov.my/v1/uploads/files/1_Articles_By_Themes/BPIP/Bulletin%20FDIDIA/Q42019/FDI%20DIA%20BULLE-
TIN%20Q419.pdf
4. As of December 2019 https://tradingeconomics.com/malaysia/manufacturing-pmi
5. https://www.thesundaily.my/local/ministry-launches-malaysia-smart-city-framework-BN1395377
6. https://www.thestar.com.my/business/business-news/2020/02/19/world-bank-to-review-again-malaysias-2020-gdp-growth
7. https://www.nst.com.my/business/2020/03/570879/malaysias-2020-economic-growth-be-tale-two-halves-analysts
8. 2020 RGF Talent Survey
9. 2020 RGF Talent Survey
10. 2020 RGF Talent Survey
11. 2020 Talent in Asia Report
12. https://www.thestar.com.my/news/nation/2019/10/14/dr-m-malaysia-aims-to-be-south-east-asia039s-industry-40-hub
13. https://www.bnm.gov.my/index.php?ch=34&pg=163&ac=4&bb=file
14. https://www.imf.org/en/News/Articles/2020/02/27/na022820-malaysia-a-flourishing-fintech-ecosystem
15. https://www.malaymail.com/news/malaysia/2019/12/10/general-assembly-to-accelerate-local-talent-upskilling-in-digital-devel-
opme/1817967
16. 2020 RGF Talent in Asia Report
17. 2020 RGF Talent in Asia Report
42
About RGF
RGF (Recruit Global Family) is the global brand of Recruit Group, which is the fourth largest
recruitment and information service company globally. Founded in 1960, the Recruit Group
creates and provides platforms that connect companies and consumers by offering Opportunities
for Life. RGF International Recruitment, under the Recruit Group, provides a wide range of
recruitment solutions in 11 countries and markets across Asia. We deliver optimal, cross-border
recruitment solutions at all levels and across all industries and functions, transcending national
and city boundaries through our three service brands, with the aim of unleashing the potential of
individual talents and employers in Asia.
RGF HR Agent
Fills a range of managerial, specialist and staff positions at
Japanese companies that require Japanese language skills.
Staff Draws on a deep understanding of Japanese companies with a
vast database of Japanese-speaking personnel to find the best
candidates.
www.rgf-hr.com