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Key Facts: Malaysia vs Eritrea Wages

Malaysia Minimum Wage
RM8.72/hr ($2.20 USD)
Eritrea Minimum Wage
Nfk600/mo ($40 USD)
Malaysia Avg. Gross Monthly Salary
RM4,000 /mo ($1,008.83 USD)
Eritrea Avg. Gross Monthly Salary
Nfk6,000 /mo ($400 USD)
Data Sources
Ministry of Human Resources (MOHR); Minimum Wages Order 2024 P.U.(A) 376 eff 2025-02-01; primary source gajiminimum.mohr.gov.my (2026-05-27), ILO ILOSTAT / World Bank / OHCHR Eritrea reports (2026-02-25)

Malaysia flag Malaysia Eritrea flag Eritrea

Updated 2026-05-27

Malaysia flag Malaysia

Minimum Wage

RM8.72 /hr

$2.20 USD

Avg. Gross Salary

RM4,000 /mo

Eritrea flag Eritrea

Minimum Wage

Nfk600 /mo

$40 USD

Avg. Gross Salary

Nfk6,000 /mo

Min wage: -95% Malaysia vs Eritrea Avg. salary: +152% Malaysia vs Eritrea

The minimum wage in Malaysia is roughly 18 times lower than in Eritrea in USD terms, reflecting the gap between a upper-middle-income and a low-income economy. Average gross salaries diverge further: $1,009/mo in Malaysia versus $400/mo in Eritrea, a 2.5:1 ratio. Malaysia has the tighter labor market, with unemployment at 3.8% compared to 6.0%.

Malaysia's unemployment rate is 3.8% compared to Eritrea's 6.0%.

Detailed Comparison

Detailed wage comparison between Malaysia and Eritrea
Metric Malaysia Eritrea
Minimum wage /hr RM8.72 $2.20
Minimum wage /mo RM1,700 $428.75 Nfk600 $40
Minimum wage /yr RM20,400 $5,145.02
Avg. gross salary /mo RM4,000 /mo $1,008.83 Nfk6,000 /mo $400
Avg. net salary /mo RM3,520 /mo $887.77 Nfk5,400 /mo $360
Median individual income /yr RM31,200 /yr $7,868.85 N/A/yr

Percentage differences are based on USD equivalent values. Positive means Malaysia is higher.

Work Week

Malaysia

45 hrs/wk standard

Max 45 hrs/wk

Overtime : 1.5x pay

Employment Act 1955 (amended 2022) reduced maximum working hours from 48 to 45 hours/week, effective 1 January 2023. Maximum 8 hours/day or 45 hours/week. Overtime at 1.5x on normal days, 2x on rest days, 3x on public holidays. Maximum overtime: 104 hours/month. Applies to employees earning up to MYR 4,000/mo (threshold raised from MYR 2,000 in 2023 amendments).

Eritrea

44 hrs/wk standard

Labour Law sets 44 hours/week for civilian workers (8 hours/day, 5.5 days). However, the national service program operates under military regulations outside normal labour law. No reliable enforcement or monitoring data is available.

What This Means for Workers

A minimum wage worker in Malaysia earns 1719% less per hour in USD terms than one in Eritrea. Standard work weeks differ: Malaysia mandates 45 hours while Eritrea mandates 44 hours. A minimum wage worker's weekly earnings in Malaysia are $99 vs $1,760 in Eritrea.

See this comparison from Eritrea's perspective: Eritrea vs Malaysia

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Frequently Asked Questions

Is the minimum wage higher in Malaysia or Eritrea?

In Malaysia, the minimum wage is RM8.72/hr ($2.20 USD). In Eritrea, it is Nfk600/mo ($40 USD). Eritrea has the higher rate by 1719% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Malaysia may retain a larger share of their earnings if prices there are lower.

How much more does the average worker earn in Malaysia compared to Eritrea?

The average gross salary in Malaysia is RM4,000/mo ($1,008.83 USD), compared to Nfk6,000/mo ($400 USD) in Eritrea. In USD terms, workers in Malaysia earn approximately 152% more. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Malaysia and Eritrea is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Malaysia earn more in nominal terms, though how far that income stretches depends on local prices in Eritrea.

How do work hours compare between Malaysia and Eritrea?

Malaysia has a longer standard work week at 45 hours, compared to 44 hours in Eritrea. Workers in Malaysia work 45 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Eritrea working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.