PUTRAJAYA: Further studies are being taken by the Human Resources Ministry to fine-tune the new expatriate employment policy before it is enforced beginning June 1, says Minister Datuk Seri R Ramanan (pic).
According to Ramanan, the review was conducted to ensure that the new expatriate employment policy was introduced holistically and well coordinated, taking into account the country’s medium- and long-term workforce needs.
“We are actually doing a study, and we will make a decision. Of course, we need more data and details.
“As part of the medium and long-term planning, we will do what is necessary,” said Ramanan to reporters when met after delivering his New Year address at the Menara Perkeso on Thursday (Jan 15).
Ramanan said his ministry is finalising the policy, with ongoing discussions since the beginning of the year.
“I hope to make a finite decision at the end of the month,” he said.
Ramanan said the policy aims to incentivise overseas Malaysians to return by offering competitive, high-paying local jobs.
At the same time, Ramanan emphasised that foreign expertise remains crucial to national development, facilitating knowledge transfer, training, and specialised skills.
“So, we will decide how we are going to implement it (expatriate policy) so it can correlate in one ecosystem together (local and foreign professionals),” he said.
Meanwhile, Ramanan commented on the 10-year cap on expatriate employment passes, emphasising the importance of succession planning to ensure that high-value positions are ultimately filled by Malaysians, especially after long-serving foreign workers complete their tenure.
“For high-paying jobs, don’t you think we should give it to Malaysians first before we offer it to a foreign national?” he questioned, while noting that succession planning is currently applicable to Category 2 and 3 expatriates.
Ramanan also said his ministry is currently reviewing Category 1 expatriates to ensure a comprehensive approach.
“If you give us a bit of time, we will plan and come to it in stages. We will deliver it at the end of the month,” he said.
“Because, this is not an ad hoc decision, it needs to be studied. Any decision that the Human Resources Ministry makes, it impacts the lives and well-being of many,” he added.
On Wednesday (Jan 14), the Home Ministry announced that the new expatriate employment policy will take effect on June 1, giving employers sufficient time to prepare.
This includes a restructuring of salary thresholds for Employment Pass Categories I, II, and III, as well as the introduction of fixed employment durations for expatriates, which was approved by the Cabinet in October last year.
