PUTRAJAYA, May 16 — Private companies interested in participating in the Progressive Wage Policy (DGP) pilot project are invited to voluntarily register through the official portal at https://gajiprogresif.gov.my, which opened yesterday.

In a statement today, the Ministry of Human Resources (Kesuma) announced that the pilot project is open to six sectors: construction; manufacturing; wholesale and retail trade; motor vehicle and motorcycle repair; information and communication; as well as professional, scientific, and technical activities.

Kesuma stated that selected companies will receive a maximum incentive of RM200 per month for each employee in the entry-level group, and a maximum of RM300 per month for each employee in the non-entry-level group.


Entry-level employees refer to those serving in the company or position for the first year, whereas non-entry-level employees are those who have held the position in the company for more than a year.

“Salary increments should correspond with the improvement in the employees’ skill levels and performance. Companies participating in the DGP must provide documentation verifying that employees have attended and completed skills enhancement courses and training for at least 21 hours (three days).”

“Employers can make the incentive claims from June onwards,” read the statement.


Kesuma stated that the DGP is a government commitment to reform the labour market and increase the income of workers on par with productivity growth.

“The introduction of this new policy will complement existing wage initiatives such as the Minimum Wage Order and the Productivity-Linked Wage System,” said Kesuma.

During the Labour Day celebration on May 1, Communications Minister Fahmi Fadzil was reported to have stated that Prime Minister Datuk Seri Anwar Ibrahim had made a commitment to private sector workers regarding the progressive wage policy involving 1,000 local companies with an allocation of RM50 million from the Ministry of Economy, effective June this year. — Bernama