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Foreign Worker Recruitment Process in Malaysia — Your Complete Compliance Guide

Hire foreign workers in Malaysia with full compliance to MOHR, KDN, and Immigration Department regulations. Our expert support covers the entire process — from document preparation and quota approval to immigration, work permits, and ongoing compliance.

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Foreign Worker Recruitment & Management

Complete Guide to Hiring Foreign Workers in Malaysia

Navigate Malaysia's foreign worker recruitment process with confidence. The hiring process is regulated by multiple government agencies to ensure legal compliance and worker welfare.

Governing Authorities:

Ministry of Human Resources (MOHR) Labour Department (JTKSM) Ministry of Home Affairs (KDN) Immigration Department

Our End-to-End Recruitment Services

  • Quota Application & Approval
  • Overseas Worker Sourcing
  • Visa & Work Permit Processing
  • ePLKS Registration & Issuance
  • FOMEMA Medical Examination
  • Worker Welfare & Housing Compliance (Akta 446)
Malaysia Foreign Worker Recruitment 2025

Complete Legal Hiring Process & Compliance Guide

Step-by-step framework covering eligibility validation, prior approvals, medical screening, permit issuance, renewals, and compliant repatriation procedures

0
Sector & Eligibility Validation
Verify that your sector, job position, and worker nationality are approved under the latest Ministry of Human Resources (MOHR) and Immigration guidelines. Ensure there are no active restrictions on hiring foreign workers for the intended role.
Action Items:
  • Check approved sectors: Manufacturing, Construction, Plantation, Agriculture, Services, Mining & Quarrying
  • Verify eligible source countries (15 approved nations) via Immigration circular
  • Confirm worker age requirements: 18-45 years old
  • Document proof of local recruitment efforts (per Section 60K)
  • Verify job position compliance - NO front-line roles (cashiers, sales representatives, customer service counters)
Critical Restrictions: Foreign workers cannot work as front-liners, must be aged 18-45, and are prohibited from marrying locals or other foreign citizens under VP(TE).
Pre-Recruitment
1
Section 60K Approval & Foreign Worker Quota Allocation
Employers in Malaysia must first obtain prior approval through the ePPAx 2.0 system (effective December 2024) and apply for foreign worker quota allocation via the One-Stop Centre (OSC). Both approvals are mandatory under Section 60K of the Malaysian Employment Act before any recruitment, visa submission, or agency appointment can begin.
Action Items:
  • Submit ePPAx 2.0 application with latest company registration, EPF, SOCSO, and business documents
  • Obtain the official Section 60K approval letter (valid 12 months) via the ePPAx portal
  • Apply for foreign worker quota at OSC with proper justification and supporting documents
  • Maintain digital and hard copies of all approvals for future compliance audits
Employment Period: Maximum employment period is 10 years renewable up to 13 years total (10 + 3 years extension) for the 6 formal sectors.
~2–4 Weeks
2
Licensed Agency Appointment
Engage a KDN-licensed recruitment agency registered under JTKSM. The agency will handle sourcing, documentation, and compliance with Malaysia's foreign worker policy and bilateral agreements.
Action Items:
  • Verify agency KDN license validity through official MOHA portal
  • Review service agreement and compliance clauses
  • Confirm the agency's authorized source countries (15 approved nations)
  • Ensure clear roles in pre-departure and post-arrival stages
  • Verify agency's track record and complaint history
Concurrent
3
Overseas Recruitment & Pre-Departure Screening
Authorized overseas partners recruit candidates and complete all pre-departure verification — including biometric registration, medical exams, and rights awareness sessions under the source country's regulations. Only recruit through MOHR-licensed agencies in approved source countries.
Action Items:
  • Recruit through approved foreign sub-agent network only
  • Confirm candidate passport validity (minimum 18 months remaining)
  • Conduct certified pre-departure medical examination (GAMCA/FWAMS standard)
  • Ensure translated employment contract is signed with clear terms
  • Provide mandatory rights, welfare, and repatriation briefing
  • Verify no falsified documents or misrepresentation
Country-Specific Notes: Philippines (male only, certain sectors), Indonesia (females only in manufacturing, males prohibited), India (restricted to specific roles).
4–8 Weeks
4
Visa with Reference (VDR) & Levy Payment
Apply for the Visa with Reference (VDR) via the Immigration Department system. Concurrently pay the annual government levy and lodge the security bond electronically through the FWCMS/Immigration eServices portal.
Action Items:
  • Prepare complete VDR application with all supporting documents (digital format)
  • Pay annual levy: Manufacturing/Construction/Services (RM1,850), Plantation/Agriculture (RM640)
  • Submit security bond electronically as per Immigration requirements
  • Track VDR approval status via Immigration online dashboard
  • Retain all e-receipts, levy payment proof, and approval letters
2025 Levy Rates: Manufacturing RM1,850 | Construction RM1,850 | Plantation RM640 | Agriculture RM640 | Services RM1,850 | Mining RM1,850 (annual payment required)
2–3 Weeks
5
Designated Entry & Immigration Clearance
Workers must enter Malaysia only through approved entry points listed on the VDR. Employers or agencies must complete Immigration Arrival Reporting within 24 hours through the online system (not 6 hours as previously stated).
Action Items:
  • Confirm designated entry point as specified on VDR approval
  • Arrange arrival logistics, transportation, and reception
  • Submit online arrival confirmation within 24 hours of arrival
  • Retain boarding passes, passport copies, and arrival stamp records
  • Ensure worker receives proper orientation upon arrival
Important: Official Immigration clearance must be completed within 24 hours of arrival. Late reporting may result in penalties.
Arrival Day + 24 Hours
6
FOMEMA Medical Examination
Arrange FOMEMA medical screening within 30 days of arrival at an approved FOMEMA clinic. Workers who fail medical screening must be reported immediately for Check Out Memo (COM) processing and repatriation.
Action Items:
  • Schedule FOMEMA screening via official online system
  • Ensure completion within mandatory 30-day deadline
  • Keep digital and physical copies of medical clearance or failure reports
  • If medical examination failed, immediately initiate COM and arrange repatriation
  • Monitor FOMEMA results through employer portal
Days 1–30 After Arrival
7
PLKS (Visitor Pass – Temporary Employment) & i-Kad
Once medically cleared, apply for the PLKS card (formerly VP(TE)) via Immigration's ePLKS system. Workers receive i-Kad (biometric card) and digital permit linked to MyIMMs database for verification purposes.
Action Items:
  • Apply for PLKS via ePLKS module immediately after medical clearance
  • Upload FOMEMA medical clearance certificate and all supporting documents
  • Register worker for i-Kad biometric capture and issuance
  • Provide worker with both digital and physical permit copies
  • Brief worker on permit validity period and renewal requirements
Days 30–45 After Arrival
8
Social Security, EPF & Payroll Compliance
Register worker under PERKESO (Employment Injury Scheme and Invalidity & Survivors' Scheme). From October 2025 onwards, mandatory EPF contributions apply: 2% employer + 2% employee (except domestic helpers who are exempt). Ensure full payroll compliance with minimum wage of RM1,700/month (effective 1 August 2025).
Action Items:
  • Register worker in PERKESO via Assist Portal (Employment Injury + Invalidity Schemes)
  • Register for EPF contributions: 2% employer + 2% employee (mandatory from October 2025)
  • Set up compliant payroll with minimum wage RM1,700/month (RM55.38/day for daily-rated)
  • Provide monthly itemized payslips and maintain 7-year record retention
  • Update employment contract records in ePPAx system
  • Ensure timely monthly EPF and SOCSO contributions
Mandatory Compliance (2025): Minimum wage RM1,700/month for ALL workers including foreign workers. EPF contribution (2%+2%) mandatory from October 2025 except for domestic helpers.
Post-Arrival (Immediate)
9
Permit Renewal & Annual Medical Checks
Renewal applications must be submitted at least 90 days before expiry to avoid work permit lapses. Annual FOMEMA medical screening is mandatory for the first 3 years of employment. Plan ahead to maintain continuous legal employment status.
Action Items:
  • Track permit expiry dates via ePLKS employer dashboard
  • Submit renewal application minimum 3 months (90 days) before expiry
  • Schedule and complete annual FOMEMA medical screening (years 1, 2, and 3)
  • Ensure continuous levy payment without gaps
  • Update any changes in employment terms or worker accommodation
  • Maintain compliance audit records for inspection
Renewal Timeline: Apply 90 days before expiry. Processing takes 2-4 weeks. Late applications may result in work permit lapses and penalties.
90 Days Before Expiry
10
Termination, Check Out Memo (COM) & Repatriation
For expired permits, end of contract, medical unfitness, or early termination — file a Check Out Memo (COM) via Immigration's online COM module. Employer is fully responsible for ensuring proper repatriation with complete documentation and final settlement.
Action Items:
  • Submit COM through Immigration online portal with valid reasons
  • Receive COM approval reference number for tracking
  • Arrange confirmed return air ticket and provide escort if required
  • Settle all outstanding wages, leave entitlements, and terminal benefits
  • Provide final payslip and employment termination letter
  • Obtain departure confirmation and maintain repatriation proof records
  • Close EPF and SOCSO accounts with final contributions
  • Submit departure confirmation to Immigration within specified timeline
Employer Responsibility: Failure to properly repatriate workers may result in blacklisting, fines up to RM50,000, and imprisonment up to 12 months under Immigration Act.
Upon Contract End / Termination

Critical Compliance Timeline for Foreign Worker Recruitment in Malaysia

Key Deadlines and Immigration Milestones

FOMEMA Medical Examination
Mandatory within 30 days of worker arrival. Failure to complete medical screening will result in automatic repatriation under Immigration Malaysia guidelines.
VP(TE) / PLKS Work Permit Issuance
Must be processed immediately after FOMEMA clearance. Employment cannot legally commence before valid work permit issuance.
Immigration Arrival Clearance
Complete entry verification within 24 hours at designated Malaysian entry points (KLIA, Johor, Penang, etc.).
Permit Renewal Application
Submit renewal 3 months before expiry to prevent work authorization gaps and avoid levy penalties.
Check Out Memo (COM)
Mandatory filing immediately upon termination, transfer, or medical rejection — delays are non-compliant with Immigration Malaysia procedures.

Essential Documents for Legal Foreign Worker Recruitment

Pre-Recruitment Approvals
  • MOHR ePPAx Section 60K approval
  • One Stop Centre (OSC) quota allocation letter
  • Licensed recruitment agency KDN permit copy
  • Employment contract in worker’s native language
Worker Identification Documents
  • Valid passport (minimum 6 months validity)
  • Pre-departure medical certificate (MOFA-approved)
  • Police clearance certificate (if applicable)
  • Certified skill or education credentials
Medical & FOMEMA Compliance
  • FOMEMA medical screening within 30 days of arrival
  • Periodic health checkups based on sector regulations
  • Vaccination record and medical clearance reports
  • Updated FOMEMA compliance certificate
Financial & Levy Requirements
  • Foreign worker levy payment receipt (via Immigration Malaysia)
  • Security bond documentation (RM 1,500 per worker)
  • Payroll and monthly salary records with payslips
  • PERKESO / SOCSO and EPF contribution records
Immigration & Work Permit Documents
  • Visa with Reference (VDR) approval letter
  • VP(TE) / PLKS work permit card
  • i-Kad registration proof
  • Permit renewal and extension approvals
Employer Legal Compliance
  • Business registration, SSM & tax identification (LHDN)
  • Valid workplace operating license
  • Signed employment agreements and records
  • Certified worker accommodation verification

Foreign Worker Pre-Hiring Compliance Checklist (2025)

  • Confirm industry eligibility under MOHR approved sectors
  • Ensure worker nationality is authorized for your sector
  • Obtain ePPAx Section 60K approval before recruitment
  • Secure quota allocation from the OSC (One Stop Centre)
  • Engage a licensed Malaysian recruitment agency with valid KDN permit
  • Verify all recruitment sub-agents are officially authorized
  • Conduct pre-departure medical screening via FOMEMA-registered clinics
  • Sign bilingual employment contracts in both English and native language
  • Submit VDR (Visa with Reference) applications to the Malaysian Embassy
  • Pay foreign worker levy and lodge security bond as required
  • Provide airport reception and immigration arrival support
  • Complete FOMEMA medical within 30 days of arrival (CRITICAL)
  • Apply for VP(TE)/PLKS permit immediately after medical clearance
  • Register worker for i-Kad and PERKESO insurance
  • Maintain compliant payroll and levy records for audit purposes
  • Initiate permit renewal 3 months before expiry
  • Establish repatriation and emergency response procedures
  • Retain employment documentation for a minimum of 3 years
Compliance Warning: This checklist summarizes key foreign worker regulations as of 2025. Immigration, MOHR, and KDN policies may change without prior notice. Always verify current requirements before recruitment. Non-compliance may lead to severe penalties including worker repatriation, suspension of quota, or blacklisting of your company.
Important Employer Reminders:
  • FOMEMA medical must be completed within 30 days — no extensions permitted
  • Worker welfare and protection are non-negotiable under Malaysian law
  • All documentation must be retained for audit purposes for at least 3 years
  • Escort, repatriation, and termination procedures must follow Immigration guidelines
  • Always engage a licensed foreign worker agency in Malaysia for legal recruitment
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Employer Assistance under Malaysia’s Updated Foreign Worker Laws

End-to-End Support for Legally Compliant Foreign Worker Recruitment

As of 2025, Malaysia enforces stricter rules for foreign worker recruitment, covering prior approvals, social protection, and exit oversight. Our compliance experts ensure every step — from quota approval to pass renewal — meets the latest immigration and labour law requirements.

Section 60K Prior Approval & Quota Application

Under enhanced regulations (effective December 2024), all new foreign worker hires require mandatory prior approval through ePPAx before quota submission. We handle preparation, submission, and tracking of your 12-month approval certificate, ensuring quota requests meet official eligibility criteria.

Coordination with Licensed Overseas Agencies

We work exclusively with MOHR-licensed agencies in approved source countries to source vetted and compliant candidates. This ensures lawful recruitment and prevents risks of blacklisting or non-compliance with international hiring protocols.

VDR, ePLKS & VP(TE) Processing

We manage the complete Visa With Reference (VDR) and ePLKS / VP(TE) application process — from document compilation and portal submissions to follow-ups and issuance. Our team also supports annual renewals and ensures full Immigration compliance.

FOMEMA, Social Security & Ongoing Compliance

We coordinate FOMEMA medical screenings within 30 days of arrival, track results, and facilitate PLKS/i-Kad issuance. From October 2025 onward, we assist with mandatory EPF contributions (2% employer, 2% employee) and ensure coverage under PERKESO’s invalidity & survivors’ scheme. Our ongoing compliance support keeps your workforce fully protected and legally secure.

From prior approvals to social protection compliance — we manage every detail so you can recruit confidently under Malaysia’s updated foreign worker framework.

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No. Male Indonesian workers are permitted in all sectors except manufacturing. Female workers are allowed in all sectors.
  • 🚫 Male Indonesian workers: Not allowed in manufacturing
  • ✅ Female Indonesian workers: Allowed in all sectors

Workers can be recruited from these 15 approved countries:

No. Country Male Female Allowed Sectors
1 🇹🇭 Thailand ✓ ✓ Manufacturing, Construction, Plantation, Agriculture, Services, Mining & Quarrying
2🇰🇭 Cambodia✓✓
3🇳🇵 Nepal✓✓
4🇲🇲 Myanmar✓✓
5🇱🇦 Lao PDR✓✓
6🇻🇳 Vietnam✓✓
7🇵🇭 Philippines✓✗
8🇵🇰 Pakistan✓✓
9🇱🇰 Sri Lanka✓✓
10🇧🇩 Bangladesh✓✓
11🇹🇲 Turkmenistan✓✓
12🇺🇿 Uzbekistan✓✓
13🇰🇿 Kazakhstan✓✓
14 🇮🇳 India ✓ ✓ Services (restaurants only), Construction (high-tension cables), Agriculture, Plantation
15 🇮🇩 Indonesia ✓ ✓ Manufacturing (female only), Construction, Plantation, Agriculture, Services, Mining
⚠️ Special Restrictions:
• Indonesia: Males prohibited in manufacturing
• Philippines: Female workers not allowed
• India: Limited to specific sectors only
No. Workers from India are not permitted to work in the manufacturing sector.
  • 🍽️ Services: Restaurants only (cooks)
  • ⚡ Construction: High-tension cables only
  • 🌾 Agriculture
  • 🌴 Plantation

Foreign workers can be employed in the following approved sectors:

Sector Specific Roles
Manufacturing All manufacturing roles
Construction All construction work
Plantation Palm oil, rubber, etc.
Agriculture Farming and cultivation
Services • Restaurant (Cooks only)
• Cleaning & Sanitation
• Resort Islands
⚡ Typical processing time: 4-6 weeks (with complete documentation)

Timeline breakdown:

  • 📋 Document preparation: 3-5 days
  • 🏥 Medical examinations: 7-10 days
  • 📄 Government processing: 14-21 days
  • ✈️ Visa issuance: 3-7 days
  • 🛬 Travel arrangements: 2-5 days

Factors affecting processing time:

  • Document completeness and accuracy
  • Country of origin
  • Sector and quota availability
  • Government holiday periods
Generally, no. Foreign workers are bound to their employer under their work permit.

Exceptional circumstances where transfers may be approved:

  • 🏢 Company closure or bankruptcy
  • ⚖️ Legal disputes or contract violations
  • 🚨 Safety or welfare concerns
  • 👥 Family reunification cases

Transfer process requires:

  • Written consent from current employer
  • Approval from new employer
  • Immigration Department approval
  • Valid justification for transfer

Required documents from worker:

Personal Documents
  • Valid passport (min. 18 months)
  • Birth certificate
  • Educational certificates
  • Skills certificates (if any)
  • Police clearance certificate
Official Documents
  • Medical examination report
  • Employment contract
  • Passport-sized photographs
  • Translated & authenticated documents
  • Insurance documents
📝 Note: We handle document verification, authentication, and translation services to ensure everything meets Malaysian requirements.
Passport, current PLKS copy, visa sticker, FOMEMA medical report, employer documents, proof of levy & insurance payment — submit at least 30 days before expiry.
FOMEMA screening must be conducted at approved clinics within 30 days of arrival and at required intervals. Results are electronically linked to immigration systems.

We provide comprehensive end-to-end foreign worker management services:

Pre-Arrival Services
  • Worker recruitment & screening
  • Permit applications (PLKS/VDR)
  • Medical examinations
  • Document processing & authentication
  • Visa applications
Post-Arrival Services
  • Airport pickup & onboarding
  • Accommodation arrangement
  • Insurance coverage (SPIKPA/FWCS)
  • Monthly payroll management
  • Permit renewals & extensions
  • 24/7 support & welfare monitoring

Yes, we conduct ongoing welfare monitoring to ensure worker wellbeing.

  • 🏘️ Regular site visits & accommodation checks
  • 📋 Welfare reporting & grievance handling
  • 📞 24/7 emergency hotline
  • 🤝 Liaison with embassies & labor departments
Our goal is to ensure every worker’s rights, safety, and dignity are maintained.
End-to-end recruitment, documentation, medical coordination, quota & visa handling, accommodation setup, payroll & compliance services, and 24/7 welfare support.
Verify via JTKSM / MOHR / Immigration portals for valid license numbers. Confirm registration and request proof of past compliance/audit reports where possible.
Maintain valid permits, pay wages and levies, provide Act 446-compliant housing, insure workers (SPIKPA/FWCS), and report renewals promptly.

Government levy rates vary by sector (annual payment):

Sector Annual Levy (RM)
Manufacturing1,850
Construction1,850
Plantation640
Agriculture640
Services (All Categories)1,850
💡 Important: These rates are subject to change. We monitor updates closely and ensure your compliance automatically.
  • 💰 Fines up to RM50,000 per worker
  • ⚖️ Imprisonment for repeat offences
  • ❌ Business license suspension
Penalties include fines, quota suspension, license revocation, and blacklisting — depending on the nature of the violation.
Report abscondment/termination to Immigration within 24–48 hours. Keep documentation and follow repatriation procedures.
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Navigating the complexities of foreign worker recruitment can be overwhelming. Our expert team delivers clear guidance, efficient processing, and full compliance support — ensuring your manpower needs are met without the stress.

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