Malaysia: Employment Pass Applications to Malaysia Digital Economy Corporation Reclassified

Effective September 1, 2017, the Ministry of Home Affairs will reclassify Category I, II and III Employment Pass applications submitted through the Malaysia Digital Economy Corporation. The new classification system will be based on the foreign national's duration of employment and monthly base salary, to be increased on or after September 1.

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Jun 02, 2017
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The Ministry of Home Affairs will reclassify Category I, II and III Employment Pass (EP) applications submitted through the Malaysia Digital Economy Corporation (MDEC) on September 1, 2017. The new classification system will be based on the foreign national's duration of employment and monthly base salary, to be increased on or after September 1.

The following are the changes coming into effect on September 1, 2017:

There is no guarantee that the EP application will be approved for the maximum duration of five years even if the monthly base salary of the foreign national is at or above RM 10,000. Each EP application will be assessed on a case-by-case basis, and approval will be at the discretion of MDEC.

What This Means for Employers and Foreign Nationals

Employers should consider the upcoming changes to the monthly base salary when sponsoring foreign nationals, especially for the EP Category III.  All new and renewal EP applications must reflect the new minimum salary requirements as of September 1, 2017.
This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to Fragomen.malaysia@fragomen.com

© 2017 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

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