Malaysia’s Engineer Salary Dilemma

By: Hong Wai Onn

The debate about low salaries among engineers in Malaysia has resurfaced—again. Headlines lament stagnant wages, young engineers voice frustration, and stakeholders warn that low pay risks discouraging students from entering STEM fields.

But are Malaysian engineers truly underpaid? The short answer: yes—but the issue is more nuanced than it appears. To build a sustainable future for Malaysia, we must confront this dilemma with a clear-eyed view.

A Salary That No Longer Matches the Cost of Living

If we look back 15 years, the landscape has changed dramatically. According to the Analysis of Annual Consumer Price Index 2024 by the Department of Statistics Malaysia, the average price of roti canai was 90 sen per piece and a plate of white rice cost RM1.14 in 2011. By 2024, these prices had surged by 71% and 74%, reaching RM1.54 and RM1.98 respectively. But has the salary of engineers—or for that matter, most professions—kept pace with this sharp rise in living costs?

The harsh reality is telling. Reports indicate that 35% of junior engineers in Malaysia earn less than RM2,000 per month, while 65% of fresh graduates earn below RM3,000. It is no surprise that many engineers feel trapped—caught between the weight of professional expectations and mounting financial pressures.

Not All Engineers Deserve Blanket Increases

However, as much as I sympathise with my fellow engineers, I must also offer a caution: not everyone should expect a minimum wage guarantee or automatic pay rise.

A salary is, after all, a reflection of value provided. In today’s rapidly evolving world, being technically competent is the baseline, not the finish lin. Some engineers tirelessly upgrade their skills, contribute innovative solutions, and demonstrate leadership. Others remain stagnant, failing to invest in either technical depth or soft skills such as communication, project management, or critical thinking.

Who Is an Engineer, Really?

Another elephant in the room is the confusion over who can call themselves an engineer in Malaysia.

Legally, only those registered with a recognised professional body—such as the Board of Engineers Malaysia (BEM)—have the right to use the title “Engineer”.

Yet look around and you’ll find job advertisements and business cards freely using the term “Engineer” for unqualified individuals. In some factories, diploma holders working in operations are labelled as “engineers. Even more surprisingly, a report by the Ministry of Human Resources suggested that graduates of the Malaysian Skills Diploma Level 4 could potentially hold the job title of “assistant engineer”.

I mean no disrespect to diploma holders—they are a vital part of the workforce—but there is a clear distinction between technicians, technologists, and engineers.

This title dilution undermines the profession and confuses the public. When a technician earning RM2,000 is called an “engineer,” it feeds the false narrative that engineers are poorly paid across the board.

Are We Leveraging the Full Value of Engineers?

Beyond salary, there is a deeper question: do we truly value and utilise engineers in Malaysia?

In public perception, engineers often rank below doctors (who save lives) and lawyers (who defend freedom). But engineers quietly enable the very infrastructure of modern life—energy, transportation, manufacturing, digital connectivity, and more.

Yet in reality, we often underutilise the expertise engineers bring to the table. Let me pose a few simple questions to industry leaders: When was the last time your organisation required an engineer to formally review and endorse a piping rerouting modification in your plant? Are your engineers actively involved in shaping your company’s carbon reduction strategies? Do you ensure that qualified engineers are the ones signing off on critical automation and control systems?

In many cases, these vital tasks are treated casually or left to junior staff. This not only diminishes the profession but also creates risk.

The Way Forward

The outlook for the engineering profession in Malaysia remains promising, driven by the country’s transition towards a green economy, the growth of advanced manufacturing, rising investment in data centres, and increasing focus on process safety and ESG compliance.

However, Malaysia’s engineer-to-population ratio is still relatively low — approximately one engineer for every 163 people — compared to developed nations such as Germany, where the ratio stands at about one to 100.

To fully harness this potential, BEM must safeguard the integrity of the profession and rigorously enforcing protections around the professional title. At the same time, employers must recognise and appropriately reward qualified engineers — not just through fair compensation, but also by entrusting them with meaningful responsibilities.

Finally, to my fellow engineers: we must cultivate a mindset of lifelong learning and unwavering professionalism. No one owes us a higher salary. We must earn it—by demonstrating that we are indispensable to the success of the organisations and communities we serve.

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