KUALA LUMPUR: Andy Yap spent around four difficult months job hunting with no success after graduating in September last year.
The 23-year-old computer science graduate from the Asia Pacific University of Technology and Innovation in Malaysia told CNA that he was often warned by hiring managers that his expected starting salary of RM3,000 (US$708) was “too much”.
While he eventually landed a software engineer role with a starting pay of RM4,000 a month, he said that some of his friends with engineering degrees found jobs with starting salaries of “just above RM1,000”.
”I would say that I feel grateful, especially after searching for so long and spending so much effort,” he told CNA.
The struggles of young graduates like Yap have once again come under the spotlight amid renewed debates on Malaysia’s underemployment crisis.
A recent report by a labour market research group revealed that over 65 per cent of fresh graduates in the country earn less than RM3,000.
According to the “Gaji Cukup Makan” Economy report, released in May by Future Studies Berhad, this includes graduates with bachelor’s, master’s and PhD degrees, citing data from the Ministry of Higher Education’s Graduate Tracer Study.
CNA has reached out to the report’s authors for further details on the survey methodology and the number of graduates involved in the study.
“Gaji Cukup Makan” in Malay translates literally to “salary enough (only for) food”, referring to a wage level that covers only basic living expenses, leaving little to no room for savings, investment or discretionary spending.
The troubling pattern reflects a recurring trend highlighted in the Finance Ministry’s Economic Outlook Report released last October, which showed that more than 50 per cent of fresh graduates have been drawing a monthly starting salary of below RM2,000 over the past decade.
Unlike the “Gaji Cukup Makan” report which covered only degree holders, the Finance Ministry’s survey also includes diploma graduates.
“This stagnation leaves them struggling to cover basic expenses, forcing difficult lifestyle compromises, opting for home-cooked meals over dining out or settling for more affordable housing in less desirable locations,” human resource (HR) consultant Diana Khairuddin from HR Edge told CNA.
