In our Spotlight on APAC series, we highlight the latest developments across the region. In this update, we highlight the changes announced by the Expatriates Services Division (ESD) of Malaysia to its Employment Pass salary framework.
Effective 01 June 2026, the Expatriate Pass Salary Policy has been revised for the various Employment Pass categories:
| Category | Salary threshold before 01 June 2026 | Salary threshold from 01 June 2026 |
| I | RM 10,000 and above | RM 20,000 and above |
| II | RM 5,000 and above | RM 10,000 to 19,999 |
| III | RM 3,000 to 4,999 | RM 5,000 to 9,999 |
The minimum salary threshold for exemption from Labour Market Testing (LMT) has also been updated to RM 20,000.
In addition to the salary thresholds, the following will also be exempted from LMT:
- Employment Pass Renewals
- Senior management positions
- Intra-company transfers
- Representative Office/Regional Offices
- Investors
- Shareholders
- Company Owners
- Positions in the Sports Sector
- Firms covered under the International Organisations (Privileges and Immunities) Act
For more information on the above or any assistance you require on global immigration matters, please do not hesitate to contact Rachel.ang@magrath.sg or hazimah@magrath.sg.
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