MALAYSIA: Increased Work Permit Flexibility through New Employment Pass Category

From 15th July 2015, a new form of Employment Pass has been put in place by the Expatriate Services Division (ESD) to permit lower wage bands to use short term work passes. 
 
 
The ESD was formed in June 2014 in order to help companies to more easily manage their immigration or “expatriate” work force and explicitly favours companies in key sectors such as Oil and Gas, Healthcare, Financial Services, Electronics and Infrastructure, to promote what is viewed as favourable work migration to Malaysia.
 
 
In aid of this the Immigration Department of Malaysia created a streamlined electronic service to allow companies with licenses to manage and apply for work permits.  To encourage the exclusive use of this service (MYXpats), the ESD has also introduced a new form of employment pass for shorter term employment allowing for greater wage flexibility for short term employers, but requiring the use of the ESD system.
 
 
For details of how the new pass compares to previous options please see below:
 
 
  Employment Pass (Category I) Employment Pass (Category II) Employment Pass         (Category III) (New)
Eligiblity
  • Company registered with ESD
  • Basic Salary of RM5,000+
  • Valid contract of 24 months
  • Company registered with ESD
  • Basic Salary of RM5,000+
  • Valid contract of 24 months
  • Company registered with ESD
  • Basic salary of RM2,500 – RM4,999
  • Valid contract of up to 12 months

Although the new category has lower wage requirements,  please note that whilst Category I and II applicants may bring dependants, Category III”s are not permitted to do so.

 

For any advice or assistance on setting up an gaining sponsorship status in the ESD system or in making applications, please do not hesitate to get in touch.

Contact Newland Chase