Starting this October, employers in Malaysia will be required to contribute 2% of their foreign workers’ monthly wages to the Employees Provident Fund (EPF). At the same time, these workers must also chip in 2% from their own salaries.
This new rule applies to all non-Malaysian workers, excluding domestic helpers who hold valid passports and work permits issued by the Immigration Department, as reported by Bernama. Up until now, EPF contributions by foreign workers were completely optional, but now that’s about to change.
Image credits: FMT
Other than that, a statement from EPF has also mentioned that these contributions are mandatory as it is a step in the right direction for fairer treatment across the board.
“This is a major step towards ensuring social protection for all workers in Malaysia, regardless of where they come from. It’s about fairness and equity in the labour market,” EPF said in a statement.
Employers encouraged to register company with EPF
To help prepare everyone for this new rule, EPF has been actively working with employers and stakeholders. Since Budget 2025 was tabled, over 30 engagement sessions have taken place. These included discussions with the Home Ministry, the Immigration Department, the Federation of Malaysian Manufacturers, NGOs, and representatives from both employer and migrant worker groups.
Employers are encouraged to register their companies via the EPF website or by visiting any EPF office nationwide. For questions, they can also reach out to the EPF Contact Management Centre at 03-8922 6000.
Tap here to give us a ‘Like’ on Facebook and stay up-to-date on the latest news!
