Types Work Passes for Foreigners Working In Iskandar /Johor Malaysia
The approval for foreign talent to work in Malaysia can be divided into 2 categories:
1. Managerial, Technical & Supervisory Level
2. Factory Worker Level
Foreign companies are allowed to bring in their expatriate personnel as “Key Post” or “Time Post” holders. “Key Post” position do not have any time validity while “Time Post” positions are valid for between 2 to 10 years.
For companies with paid up capital of less than USD200k (but at least USD150k), one “Key Post” position can be approved. “Time post”/ expatriate posts will be awarded on merits basis.
For companies with paid up capital of between USD200k to USD2m, the automatic approval can be obtained for 5 expatriate posts including at least one key post.
For companies with paid up capital of more than USD2m, the automatic approval can be obtained for up to 10 expatriate posts including 5 key posts.
The salary levels for “Key Post” holders should be at least RM5,000 or USD1,600 per month for Managerial position and RM3,500 or USD1,100 per month for technical position.
The qualification for managerial level should be at least a degree while for technical level, it should be at least a diploma with at least 5 years of relevant technical experience.
Short Term Professional Visit Pass
The above is given for the purpose of engaging in short term work such as the setting up/installation of machines and equipments including technical training for new setups. The pass can be valid for 3 months (renewable up to one year) and can be obtained from the respective state immigration departments. In the case of Iskandar Region, the Johor State Immigration department can issue this. MIDA can provide a support letter to facilitate and expedite this.
The guideline is one local worker to three foreign workers. In other words, up to two third of your operational head count can be foreigners. The levies are low, in the region of RM1,250 per year compared to Singapore. Foreign workers from these countries are welcome such as Vietnam, Philippines, Myanmar, Indonesia, Nepal while workers from China, Taiwan or India are not allowed in the manufacturing or services sectors.
Source & Reference
Please refer to page 93 to page 100 of the book Malaysia Investment in the Manufacturing Sector published by Malaysian Investment Development Authority (MIDA) dated April 2012. We also understand that MIDA also covers to some extend investments into services industries such as logistics, procurement, education, training, etc in conjunction with relevant ministries.