HR ministry fine-tuning expat employment policy


PUTRAJAYA: Further studies are being conducted on the new expatriate employment policy before it is rolled out beginning June 1 this year, says Datuk Seri R. Ramanan (pic). 

The Human Resources Minister said the review was to ensure that the new expatriate employment policy is introduced in a holistic and well-coordinated manner after factoring in 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,” Ramanan told reporters when met after delivering his New Year address at Menara PERKESO yesterday. 

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 added. 

He said that through the policy, the government wants to provide incentives to lure overseas Malaysians to return by offering local jobs that are competitive and high-paying. 

At the same time, he emphasised that foreign expertise remains crucial for national development in facilitating knowledge transfer, training and specialised skills. 

“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 added. 

Meanwhile, Ramanan commented on the 10-year cap on expatriate employment passes, where he emphasised 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 to Malaysians first before we offer to a foreign national?” he said, noting that succession planning is currently applicable to Category 2 and 3 expatriates. 

He 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, the Home Ministry announced that the new expatriate employment policy will come into effect on June 1 to allow 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. 

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