PETALING JAYA: Briefing and engagement sessions for stakeholders, including industry players and employers, will be held ahead of the implementation of a new employment policy involving expatriate workers on June 1, says the Home Ministry.
The new policy will cover matters involving minimum wage and job duration of expatriate workers.
“Towards the full implementation of this policy, we will organise briefing and engagement sessions with all stakeholders, including industry players, employers and relevant agencies.
“The sessions are aimed at explaining the implementation mechanisms, policy implications, and to ensure the transition is carried out in an orderly, transparent manner without disrupting business operations,” it said in a statement yesterday.
The ministry said the government remains committed to ensuring the nation’s economic development by prioritising local talents while also maintaining the country’s competitiveness as a viable and business-friendly investment destination.
“In this regard, the Cabinet on Oct 17 last year, agreed to implement a new expatriate employment policy involving the restructuring of salary thresholds for Employment Pass Categories I, II and III, as well as the determination of the duration of expatriate employment in Malaysia.
“The formulation of this new policy is aligned with the targets of the 13th Malaysia Plan to reduce dependence on foreign labour and to prioritise qualified local talent to fill job vacancies before considering the hiring of expatriates.
“In addition to salary adjustments, this policy introduces a defined duration of expatriate employment, which previously had no specific limit.
“This duration is intended not only to recognise expatriates with high-level expertise who continue to contribute to the country, but also to serve as a guide for employers in planning more structured succession plans involving the local workforce,” it said.
The new policy will have those under Category I see the minimum salary increase from RM10,000 and above to RM20,000 and above, with an employment duration set at 10 years.
Those under Category II will see the salary range go from RM5,000 to RM9,999 to RM10,000 to RM19,999 with its employment duration set at 10 years while being subject to a succession plan.
Those under Category III will have the salary range increased from RM3,000 to RM4,999 to RM5,000 to RM9,999.
However, this does not apply to those under the manufacturing sector and manufacturing-related services, which has the salary range set at RM7,000 to RM9,999.
Employment duration under Category III has been set at five years, subject to succession plans.
“All expatriates holding Employment Pass Categories I, II and III are allowed to bring dependents. To allow sufficient preparation time for employers and industry, this new policy will come into force on June 1 this year,” the ministry said.
