Malaysia doubles expatriate salary thresholds from June 2026 and sets fixed pass durations, signalling a tougher, longer-term framework focused on higher-value talent, localisation, and wage protection nationwide implementation timeline.
Malaysia will overhaul its expatriate employment framework in June 2026, doubling minimum salary thresholds across most pass categories for the first time since 2016. Category I rises to RM20,000 monthly, Category II to RM10,000–RM19,999, while Category III increases to RM5,000–RM9,999, with higher floors for manufacturing roles.
The policy aims to prioritise high-value talent, protect local wages, and encourage skills transfer. Alongside pay revisions, the Home Ministry will standardise pass durations, introducing fixed five- and ten-year validity periods.
Replacement plans will be mandatory for mid and lower tiers, signalling a clearer pathway toward localisation and workforce resilience for Malaysia’s future economy.
Source: BFM News
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