PETALING JAYA: About 100,000 Malaysian students are set to benefit from an internship placement programme in companies which hire expatriates, says the Human Resources Ministry.
Next month, these firms will be required to hire at least three interns under the 1:3 Practical Training Policy (Dasar Latihan Amali 1:3), the ministry said.
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.
The policy’s aim is to allow Malaysian students to be exposed to work environments that will train them for a competitive job market.
The policy’s pilot phase will take place from Feb 15 until Dec 31, while full implementation will take place in January next year.
The Internship placements for companies who hire expats will be capped at 2% of its total workforce.
“The ministry, through Talent Corporation Malaysia Berhad (TalentCorp), will implement the programme that is expected to benefit 100,000 local students.
“This new policy requires companies employing expatriates to provide internship placements for students from tertiary institutions nationwide,” the ministry said in a statement yesterday.
The ministry said participating companies will enjoy tax relief incentives under the National Structured Internship Programme (MySIP).
Under MySIP, companies must offer quality structured internship placements of at least 10 weeks and a minimum pay of RM500 or RM600 per month according to the level of study.
It said the pilot phase will only apply to companies categorised under Tier I and Tier II to ensure its effectiveness and smooth execution.
The ministry also outlined a mechanism to ensure an effective and comprehensive implementation of the 1:3 Practical Training Policy.
“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.Under MySIP, companies would be eligible for double tax relief incentives on monthly allowances paid to industrial trainees.
“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.
