PETALING JAYA: Companies employing expatriates will be required to hire at least three interns under the latest policy by the Human Resources Ministry.
The ministry said the policy’s pilot phase would start on Feb 15 until Dec 31 this year, while full implementation would take place in January 2026.
“The ministry, through Talent Corporation Malaysia Berhad (TalentCorp), will implement the 1:3 Practical Training Policy (Dasar Latihan Amali 1:3) that is expected to benefit 100,000 local students.
“This new policy requires companies employing expatriates in the country to provide internship placements for students from tertiary institutions nationwide,” the ministry said in a statement on Wednesday (Jan 15).
Through this policy, the ministry said participating companies would enjoy tax relief incentives under the National Structured Internship Programme (MySIP) while supporting and training local talent to face the challenges of a competitive job market.
The ministry said the pilot phase would only apply to companies categorised under Tier I and Tier II.
It said that for every Expatriate Employment Pass (EP) approved via the Malaysia Expatriate Services Centre (MYXpats) and Malaysia Digital Economy Corporation (MDEC), companies must provide up to three paid and structured industrial training placements for local students.
“Adjustments to this ratio will consider the organisation's size and workforce. The policy will only take effect once the expatriate’s EP has been approved.
“It will not disrupt the ongoing approval process for expatriate employment,” it said.
The ministry said that the latest policy would be facilitated through MySIP. Under this policy, companies would receive double tax relief incentives on monthly allowances paid to industrial trainees.
It also included related costs such as training and development, industrial training materials, and logistics under MySIP.
“Under the HRD Corp Industrial Training Scheme, companies can use up to 50% of their levy balance to support students from universities, colleges or training institutions to undergo industrial training.
“This includes offering monthly allowances and other required support for trainees.
“TalentCorp will serve as the central management hub for industrial training placements, offering resources for placement, advertising, talent access, and matching via the Ilham Kesuma platform (www.ilhamkesuma.gov.my),” it said.
For more details on the implementation of the 1:3 Practical Training Policy, visit www.talentcorp.com.my/1to3policy](http://www.talentcorp.com.my/1to3policy.
