Supply vs demand

Let's say a company has only RM30,000 budget for junior executives.

Would you hire:

A) RM2300 x 13 pax
B) RM3000 x 10 pax
C) RM3500 x 8 pax
D) RM5000 x 6 pax

This is excluding employers' share of EPF contribution, which is usually included in the budget. So, the actual number of junior execs hired is 2-3 pax fewer than what's stated above.

So, from employers' perspective, since supply > demand, they can just pick and choose whoever is okay with the salary offered. They focus on quantity (equating it to productivity) and not quality. Yeah, it's true that pay peanuts and you get monkeys. But then, surely there are good monkeys, not just bad ones.

Most companies are still stuck in 'more = better' mindset. Well, we can't really blame them, as generally, the quality of fresh grads in Malaysia is getting low and lower. There are too many higher institutions producing fresh graduates but of low quality. You can often hear employers and recruiters complaining about fresh graduates.

So, with such loss of confidence in fresh graduates, how do you think employers would want to offer higher salaries to fresh graduates? Gotta be fair to employers too, especially now we're in the midst of a pandemic.

Fresh graduates should just take up those offers that they feel okay enough to feed themselves and give some to parents (temporarily sacrificing some personal leisure), and work hard to prove themselves to be worthy of higher salaries when the economy becomes better, post-pandemic.

If fresh graduates aren't happy with what they're getting, unemployed people with families to feed would gladly take up those offers. So, what's left for fresh graduates are probably the bread crumbs.

That's the reality out there.

As for top management, why are they highly paid? Because they determine the survival of the company. If the captain is lousy and the ship sinks... that's it, everyone will sink together.

Is it fair to cut CEO salaries to 'subsidise' low-quality fresh graduates? I don't think so. CEOs have worked hard to reach the position they're holding. So, why penalise CEOs out of compassion for fresh graduates? Nah. Business is not charity.

OR maybe, don't bow down to pressure from Facebook and spend within your means. Shocking, I know...
Remember, you have a mouth to feed, not people to impress.

This is the best way to raise kids. The old fashioned way where kids don't bury their noses into smartphones and tablets.

That was my first salary when I started working in KL years ago (early to mid 2010s). It's definitely tough and you will have to be careful with how you spend.

If 2.3k is still not enough, take on a 2nd and 3rd job to cover the expenses. Not ideal but if you do not wish to sink, that's one of the few ways to survive.

You can push for more, say rm3000. See what the employers say. 95% of the time they will tell you to go and replace you with someone who will accept rm2000 instead.

Happened to me before.

Sad how most responses are about cutting down living costs, downgrading quality of life, be thrifty, stingy and miserly to "solve" i.e. argue away the low fresh graduate salary problem to be swept under the rug. Then there are others who play the "holier than thou card" saying they suffer more, walk 20km to work or live with 6 people in a 600sqft rented flat, and that graduates these days are soft, weak, entitled and complain too much. No doubt, graduates that are soft, weak and entitled are aplenty these days, and this horde of low grade graduates are the very ones dragging down the statistical mean of fresh graduate salaries by accepting lower and lower offers. All the unqualified applicants get a university offer, every Tom, Dick, Harry gets a degree. Then they graduate into the professional world with a laborer's worldview and attitude, never catching up to the ever steeper learning curve.

Back then, tertiary education was rare, and only those truly qualified deserve it and complete it successfully. They deserve to live with dignity under a cushy salaried job. But not graduates these days. Most graduate into B40 salaried life. Only the cream of the crop deserves a dignified starting salary packaged with growth potential, enough to feed themselves, their family and progress into the next stage of life comfortably. "But what about those who earn lesser than you? Isn't that unfair to them to not deserve 'dignity'?" That's something they should reflect on themselves whether they are qualified to deserve it, and what are they going to do about it. Yes, the world is not perfect that way. If one knows he/she cannot do well in a degree, learn trades skill or work to learn skills through experience instead, there is potential to grow faster and greater than degree graduates. But no, these people insist to squeeze into the degree bandwagon and the fresh graduate cohort is saturated with below par standard degree holders. Like some said, e-commerce or youtubers can easily earn much more. So why grind with others in the professional sector?

Sure there are other macro factors like stagnant nation productivity and supply-demand issues. Education is a business to generate money by churning out graduates regardless of quality. Many industries and companies in Malaysia are sweat shops for low skill, cheap laborious jobs. The institutional race-selective preference of admission into education or employment isn't helping either. There exist fairly paid fresh graduates on par to international standards, albeit limited. They are only paid highly because they deserve it as top-grade candidates, while the rest are just the churn.

With dwindling currency strength that reduces purchasing power year after year, cutting living cost and living like paupers is just a solution to survive. To thrive as a collective, something revolutionary needs to happen. Until then, sendiri jaga sendiri, go wherever benefits you the most, which enables your full potential to be utilized for a dignified compensation. Life is short and meant to be lived to the fullest, not to accept every downside compromise and remain the victim of a systemic failure.

its a very bad time for new grad.

Malaysia rising living cost and salary not up in par.

I do agree with RM35 unlimited data plan with 3mbps cap. It changes my expenses wholly after migrating to prepaid after years becum a postpaid subsciber. Years ago, a cheap prepaid might not be enuff with data cap but with thw intoduction of internet pass, u can enjoy cheap internut that is enuff to surf the web or light binge watch utube. A fast internet only needed at home thus my unifi served the purpose.

Because at the end of it, more than 90% of Malaysia's companies are SMEs. With small businesses, their profit may not be large enough to cover for all these overhead expenses. Every penny saved is important to the business.

Its a capitalist market after all. If you're in demand for your skillset, there's nothing to worry. Money will follow for sure. So weather it out in the junior stage and subsequently move up or move out.

Car - I agree with others that there are other options under RM500 per month like Axia and also Proton. So buying MyVi is a bad move if you cannot afford it.

Food - I work at KL Sentral too and you can get food under RM10 at Brickfields area. I can get a bowl of noodles/economy rice and a drink for RM9 altogether. If you forgo drinks and go back to office to drink water, even cheaper. You probably need to explore out a bit more to find cheaper options. If you wanna save, that's how you gotta do it.

Petrol - 300 per month is quite a lot. I drive to work daily and my petrol is only around RM200 per month.

Phone Bill - There are cheaper options.. My juniors at work are using around RM50 per month.

Phone Cost - What is this ah?


This post has been edited by blu3gyrl: Jun 30 2021, 04:21 PM

You should specify which job are you referring to bro. If you are talking about a degree holder but working as an accountant for an SME then of course la Rm2k salary.

Your salary is determined by your JOB not your ACADEMIC qualifications. If your a PHD holder but driving grab then you get grab level pay la. Pakai otak sikit.

If your really talented. Pindah kerja pergi job yang elok sikit.

This post has been edited by Ahmad Zulkifli: Jun 30 2021, 04:01 PM

Do you pay parking in KL Sentral and condo?

Accountant is also a respected job for graduates

Malaysia PhD don’t know what job to get.

Is this U moblie GX68 plan got speed cap or high speed data?

This happened to me also. There was 1 particular job required 2 years experience. I applied for it as I see myself fit to the JD. Got called for interview. The interviewer was happy with my achievements and projects done during university time (related to the job). At the end of the interview, he wants me onboard and asked to wait for HR call. I got rejected by the HR manager because my expected salary was high (Based on the market range for that job) and she said I only deserve entry level pay.

Probably the money spent to buy a smartphone

I think it depends on work also. If the work requires travel a lot, then car is necessary but most company compensate if travel is part of job like travel to client. If the job has limited travel and near MRT, the rm100 pass is a good offer in my view like in kl sentral.

Food at kl sentral/ nu sentral considered high class Liao. Most go brickfields (few mins away). Many nice chap fan or banana leaf at rm6,7.

Accomodation wise, I think cannot run but I will swallow ego and stay at relatives / family for first 2 years (when salary is very low).

My grad job is with big4 with long crunch hours. The travel allowance and OT allowance helps a bit financially. No social life so that saves lots of monies and departmental trip is mostly subsidized so travel holiday costs also reduced. Got some colleagues renting same room from college days even when they working (landlord assume still studying)

Carpark - Yes, when I first started working, I was working at Bukit Bintang area. Carpark was around RM 100-160 per month there. For cheaper carpark, you need to get there earlier to get a spot. If later than 7.45am, need to park at more expensive rate carpark. Now at KL Sentral, thankfully my company subsidised my carpark after my promotion. However, you can find cheaper carpark at around Brickfields area. This is where my colleagues get their cheaper carpark. Before I got my carpark though, I opted to take public transport to work coz it's cheaper. RM10 per day via MRT and Park&Ride facility.

Condo - No, not at that time. During my first few years of work, I stayed with my parents. However I had to give RM500 monthly to my brother as his allowance for my first 3 years of working. He was a student at that time. This amount is separate from the allowance that I also give to my parents.


All in all, I think what people are suggesting here is that he work his expenses around the salary he has for now. There are cheaper options. When get a better pay next time, then can adjust for more comfort. We all started as fresh grads before, having to save and pinch to survive and that also no savings for first few years. That's how life is lah.

This post has been edited by blu3gyrl: Jul 1 2021, 01:25 PM

renting same room instead of same house? working already should rent one room.

Got toilet paper only alr demand this and that.
Not even proving your worth yet pun.
Work your way up lah.
Phuiiii

I feel the same way as you but NO need to be so harsh. You too were once fresh grad.

Sorry if i sound too harsh but you need to knock some reality to these students who still in kayangan mode.

Yes i was fresh grad once but I was very thankful for my first job and first employer

Stop looking at ways to cut down costs and expenses. This is why Malaysia will only have cheap industries ran with a chinaman mindset. The matter at hand is the low starting salary of a fresh graduate. Not how he/she spends the money.

1. Who's complaining about the low salary? If he/she is some "hobbyist degree" graduate then it should only be expected. If a law/medical/finance/STEM related graduate, then look at his/her accomplishments, anything below 2.0 CGPA should not even be considered a degree.

2. What's the reason behind the low salary? Is it because of Malaysian companies cannot afford to pay competitively? Or is it the graduate him/herself does not have inherent value or potential to grow into the job, i.e. low quality graduate.

3. How and why is the salary so low for Malaysian fresh graduate? Is it caused by a systemic cripple in the education and economic sector of the nation? Or is it supply and demand factor? It could also be that good ones never complain with their competitive pay, and only the bad ones keep complaining because of their low worth to the employer? Survivorship bias? Confirmation bias?

This post has been edited by Murasaki322: Jul 3 2021, 03:35 PM