Malaysia Changes Salary Rules for Foreign Workers

Malaysia has raised the salary ceiling for expatriates exempt from the Labour Market Testing (LMT) process under the MyFutureJobs scheme from MYR 15,000 to MYR 20,000. The updated threshold now aligns with Malaysia's revised Employment Pass salary framework, which came into effect on June 1, 2026. Previously, expatriate roles earning a minimum of MYR 15,000 per month were exempt from LMT, enabling employers to proceed with Employment Pass applications without additional scrutiny.

The new regulations stipulate that jobs offering salaries below MYR 20,000 per month may now require the LMT process, unless they qualify for one of the other exemptions that remain unchanged. These exemptions include senior management roles, intra-company transfers, Representative Office/Regional Office (RERO) positions, investors, shareholders and company owners, organizations under the International Organizations (Privileges and Immunities) Act, sports sector positions, Employment Pass renewals, and jobs with a monthly base salary of MYR 20,000 or higher.