Charles Santiago
Nearly two in three Malaysian wage earners work in semi-skilled or low-skilled jobs.
Their median pay is just RM2,223 and RM1,758 a month, according to the Department of Statistics.
Khazanah Research Institute has also found that about 70% of households are economically vulnerable. This means they do not feel the prosperity that shows up in the country’s economic figures.
Budget 2027, due on 9 October, needs to respond to this urgently.
Cash aid is not the fix
We need to stop pretending that one-off cash handouts can solve a structural affordability crisis.
Malaysia needs real wage growth and stronger social protection.
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That must include a proper meal and nutrition programme for children in the bottom 60% of households.
You cannot build a high-income nation on low-income households.
Pakatan Harapan should pay close attention to what happened in Johor and Negeri Sembilan.
We are often too quick to explain voting behaviour through ethnicity and religion, while overlooking the household economy. Yes, people may identify along ethnic or religious lines.
But when they judge a government, they also ask simpler questions. Can I afford food? Can I pay my bills? Can I save? Can I give my children a decent life?
How people experience the economy at home shapes their trust in government. And that trust matters when they vote.
Growth on paper, not at home
The gross domestic product (GDP) can grow. The gross national income (GNI) can rise. Foreign investment can surge.
But if wages do not keep up with the cost of living, people will not feel any of that ‘prosperity’. The economy may be growing – but their households are not necessarily getting better.
This is the question Budget 2027 must answer: when will growth finally turn into stronger household incomes and security?
Malaysia does not need another one-off measure nor another announcement. What it needs is a serious wage strategy, stronger social protection and real action on the cost of living.
Budget Day on 9 October should put household prosperity at the centre of economic policy.
Charles Santiago is a prominent Malaysian politician, economist and human rights advocate who served three terms as the MP for Klang and has twice chaired the National Water Services Commission.
The views expressed in Aliran's media statements and the NGO statements we have endorsed reflect Aliran's official stand. Views and opinions expressed in other pieces published here do not necessarily reflect Aliran's official position.
- Tegakkan maruah serta kualiti kehidupan rakyat
- Galakkan pembangunan saksama, lestari serta tangani krisis alam sekitar
- Raikan kerencaman dan keterangkuman
- Selamatkan demokrasi dan angkatkan keluhuran undang-undang
- Lawan rasuah dan kronisme
