Report reveals slow salary growth for graduates since 1997

The median salary for Malaysian degree holders has declined over the past 25 years, falling from 2.7 times the salary of SPM (school leaving certificate) holders in 1997 to just 1.7 times in 2022, write Qistina Sallehuddin and Hakim Mahari for New Straits Times.

According to a report by the PNB Research Institute (PNBRI), titled Entry-Level Salary Trend in Malaysia: Insights from private sector employment (1997-2022), while tertiary education still commands higher pay compared to secondary education, the wage gap has steadily narrowed.

“While there remains an ‘education premium’ for those with higher education qualifications compared to those without, this premium has been declining … In terms of growth, the median entry-level salary for tertiary qualification holders has declined the most over the 25-year period after adjusting for inflation, by 28% (or -1.3% annually) for masters degree holders and 10% (or -0.4% annually) for bachelor’s degree holders,” the report states.
Full report on the New Straits Times site