Requirements for Hiring Company to Employ Foreign Workers
It is not only the foreign workers who should comply with the Malaysian laws to obtain the work passes, but Malaysian companies are also expected to oblige. When a company begins to enter the Malaysian market, the company is solely responsible to secure the work passes for their employees.
As an employer, it is possible for you to employ foreign workers but there are several requirements that must be met. Companies should take note of the restrictions on hiring foreign employees, such as limiting hiring to construction, manufacturing, agricultural, plantation and services sectors.
Apart from that, employment of foreign workers is also subjected to quota requirements from the Ministry of Home Affairs (MOHA).
Application for Foreign Quota Approval
As an employer, you must first obtain approval from the Local Centre of Approval from the Ministry of Home Affairs (MOHA) to hire foreign workers to work in Malaysian based companies.
Generally, companies operating in construction, agriculture, plantation, manufacturing and services industries may be approved to hire foreign workers. Once the application is submitted, an interview will take place with employer and authorized representative from the Ministry of the company’s particular sector. Once the application is successful, a conditional letter of approval is issued to the employer to allow the hiring of foreign workers.
Obtaining approval of Expatriate Status
Not all foreigners may be qualified to work in Malaysia, and employers should be aware that only certain positions are available for them, which are usually highly-skilled managerial or technical positions that cannot be filled by the locals. The positions include:
- For key posts: Top managerial post for foreign companies operating in Malaysia
- For executive posts: Professional or mid-managerial positions
- For non-executive posts: Highly-skilled, technical positions that require relevant experiences.
After these expatriates meet the prerequisites, employers are to submit all necessary documents to the Immigration Department.
Application of Employment Pass
Once the quota approval and expatriate checks are done, the employer may start submitting the work employment pass application to fill in the key positions in their company. Along with the application, the employer must also submit a letter that justifies why the position may only be held by a foreigner and not a local, prerequisites, experiences and qualifications for that position to the Malaysia Immigration Department through their online portal. Most importantly, the authority will want to know the potential benefits that the foreign employee will bring to the company and to the country.
Once this is approved, the letter of approval for the employment pass will be provided.