TAFEP Hero 2026 June
Reminder for employers: Malaysia’s revised EP salary rules are now in effect

Reminder for employers: Malaysia’s revised EP salary rules are now in effect

The updated framework raises monthly salary requirements across EP Categories I, II, and III, with new employment duration guidelines also introduced.

Employers in Malaysia who hire expatriates are reminded that the country’s revised Expatriate Pass salary framework has now taken effect, as of 1 June 2026.

Under the updated policy, the minimum salary thresholds for Employment Pass Categories I, II, and III have been revised upwards, while a structured employment duration framework has also been introduced. The changes are aimed at supporting more deliberate workforce planning, including succession planning and the development of local talent.

As previously reported on HRO, the new framework raises the minimum salary requirements across the three Employment Pass categories, while also introducing defined employment periods to support more structured succession planning:

Increased salary ranges

    • Salaries of Category I Employment Pass expatriates will increase from RM10,000 and above to RM20,000 and above monthly.
    • Salaries of Category II Employment Pass expatriates will increase from RM5,000 – RM9,999 to RM10,000 – RM19,999 monthly.
    • Salaries of Category III Employment Pass expatriates will increase from RM3,000 – RM4,999 to RM5,000 – RM9,999 monthly, except for the manufacturing and manufacturing related services (MRS) sectors which are set at RM7,000 – RM9,999 monthly.

    Employment period

    • The employment period of the Category I Employment Pass will be set at 10 years.
    • The employment period of the Category II Employment Pass is set at 10 years with a succession plan.
    • The employment period of the Category III Employment Pass is set at five years with a succession plan.
    • All expatriates holding Category I, II and III Employment Passes are allowed to bring dependents.

    MYXpats Centre will also be holding briefing sessions in June to help employers better understand the revised policy, its implementation requirements, and related processes. The dates are as follows:


    Employers who need more information have been advised to contact the MYXpats Helpdesk at +603-7839 7171 or email at helpdesk@myxpats.com.my.


    READ MORE: New expatriate salary framework in Malaysia to take effect on 1 June 2026

    Lead image & infographic / KDN

    Follow us on Telegram and on Instagram @humanresourcesonline for all the latest HR and manpower news from around the region!

    Free newsletter

    Get the daily lowdown on Asia's top Human Resources stories.

    We break down the big and messy topics of the day so you're updated on the most important developments in Asia's Human Resources development – for free.

    subscribe now open in new window