Malaysian workers expect 10% pay rise

KUALA LUMPUR: More than 90% of Malaysian employees expect to receive a pay rise in the next 12 months, with over 40% expecting an increment of 10% or more, said the 2011/12 Randstad World of Work Report.

However, Randstad also reported that only 40% of Malaysian employers plan to increase salaries, while a further 16% said they plan to offer bonuses instead.

“Overall, employees are demanding higher wages, not only as a reward for their performance, but also to keep pace with higher inflation and increased living costs. However, there is growing reluctance in parts of Asia to sustain the double-digit base pay increases that have been expected by many,” said Randstad regional director for Singapore
and Malaysia, Karin Clarke.

She said this reflects the current world economic situation as businesses in Asia are keeping a cautious eye on the Europe and US markets.

The report also found that 71% of Malaysian employers said they would offer increased training and development to staff, while 42% plan to offer better benefits and incentives.

Malaysian employees are also more likely to leave the workplace because of a lack of opportunity for advancement or growth (35%) than because of an uncompetitive salary (27%).