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IMPACT – MEDIUM
What is the change? Authorities have announced that foreign nationals applying for employment or dependent passes in the information, communication and technology (ICT) sector must upload supporting documents online.
What does the change mean? Effective immediately, photographs, employment contracts and other supporting documents must be uploaded to Malaysia Digital Economy Corporation’s ICT portal. The checklist of supporting documents is available at this e-Xpats Service Centre website.
Background: In January, the e-Xpats Service Center announced that supporting-document requirements would change for permit applications in the ICT sector. Authorities have now said that while the list of required supporting documents will not change, the documents that are required must be uploaded online. Hard copies will not be accepted unless specifically requested by MDEC. Authorities may also ask for additional documents, including hard copies, on a case-by-case basis.
BAL Analysis: Employers and foreign nationals applying for employment or dependent passes in the ICT sector should make sure they comply with the new rules on supporting documents. Applications that do not have the proper supporting documents could face delayed processing.
This alert has been provided by the BAL Global Practice group and our network provider located in Malaysia. For additional information, please contact your BAL attorney.
Copyright © 2017 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
What is the change? Authorities have announced that they will soon make changes to the supporting document requirements for foreign nationals applying for employment or dependent passes in the information, communication and technology (ICT) sector.
What does the change mean? Effective Jan. 23, the supporting document requirements will change. The checklist of supporting documents is not yet available, but is expected to be posted to this eXpats Service Centre website no later than Jan. 23.
Background: The eXpats Service Centre announced this week that its checklist of supporting documents for permit applications in the ICT sector would change Jan. 23. That new list has not yet been posted, but is expected to be updated soon. The center also said that beginning Jan. 23, applicants will be required to upload photos of themselves as part of their application. Hard-copy photos will no longer be accepted.
BAL Analysis: Employers and foreign nationals applying for employment or dependent passes in the ICT sector on or after Jan. 23 should check the new checklist to make sure they have complied with the new rules on supporting documents. Applications that do not have proper supporting documents will face delayed processing.
Copyright © 2017 Berry Appleman& Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
What is the change? Officials have announced changes to Malaysia’s Residence Pass-Talent (RP-T), which provides qualifying foreign nationals with 10-year permits to work and reside in Malaysia.
What does the change mean? Beginning Feb. 1, all Residence Pass-Talent (RP-T) applications will be processed at the Malaysia Expatriate Talent Service Centre (MYXpats Centre) in Petaling Jaya. Minimum salary requirements and processing fees will also increase.
Background: The RP-T was introduced in 2011 and allows eligible foreign nationals to reside and work in Malaysia for 10 years. RP-T holders are allowed to switch employers at will. RP-T dependent passes are available for spouses and children under 18; children ages 18 and up may apply for and obtain long-term social passes.
Beginning Feb. 1, all applications will be processed at the MYXpats Centre in the Surian Tower, Petaling Jaya, Selangor.
Minimum salary requirements will increase to 15,000 Malaysian ringgits (about US$3,361) per month. The change, from the current monthly minimum of 12,000 ringgits, is an increase of 25 percent. Fees will also increase as follows:
Online applications must be submitted through this TalentCorp website once the changeover occurs. The current site will continue to be used through Jan. 31.
BAL Analysis: The change should streamline processing of RP-T applications. While the higher salary threshold will make qualifying for the program more difficult, the program remains a good option for qualifying foreign nationals looking for long-term work and residence opportunities in Malaysia.
What is the change? The Malaysia Digital Economy Corp. (MDEC) and Malaysia Expatriate Talent Service Centre (MYXpats Centre) have begun accepting projections from companies on their 2017 needs for foreign knowledge workers. Additionally, companies registered with the Expatriate Services Division (ESD), including those with MSC and ICT status, must now also submit 2017 projections for professional visit passes.
What does the change mean? Companies in Malaysia should begin submitting their requests for foreign workers for 2017 to avoid delays in approvals of securing new projections.
Background: MDEC began receiving the requests starting on Dec. 7. MYXpats Centre began receiving them from ESD-registered companies starting Dec. 5.
Additionally, MYXpats Centre has introduced a new requirement that ESD-registered companies request projections for the number of professional visit passes they plan to apply for in 2017.
BAL Analysis: Companies should submit their foreign-worker projections for 2017 as early as possible and well before the end of the year if they intend to apply for employment passes or professional visit passes by the beginning of 2017. Companies expecting to hire large numbers of foreign workers should also anticipate delays if they are asked to submit additional documentation to support their requests for foreign workers.
Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.
What is the change? Authorities have begun requiring oil and gas companies to obtain preapproval from the Chief Minister’s Department (JKM) when filing employment pass applications in Sabah.
What does the change mean? The change went into effect without a formal announcement and adds one to two months to end-to-end processing times. The new preapproval requirement applies to both onshore and offshore oil and gas workers.
Background: Similar preapproval requirements were introduced earlier this year for oil and gas companies applying for employment passes for offshore workers from West Malaysia and Sarawak. The additional change adds to the time it will take to obtain employment passes for all oil and gas applications in Sabah. Pending applications will be put on hold until letters from the JKM are produced. BAL Analysis: Affected businesses should take notes of the change and adjust timelines and start dates if necessary. Those with pending applications must obtain JKM letters for pending employment pass applications to be processed.
What is the change? Authorities have imposed job advertisement requirements on all employers submitting employment pass applications in the state of Sarawak. Previous exemptions for company shareholders, specialists and rotational workers no longer apply.
What does the change mean? Employers must advertise job openings in a local or national newspaper and on Jobs Malaysia for three days and offer a 21-day window for local candidates to apply before submitting employment pass applications in Sarawak.
Background: Company shareholders, specialists and rotational workers were previously exempt from job advertisement requirements in Sarawak. Authorities ended the exemption for companies in all sectors, however, after a temporary moratorium on employment pass applications for oil and gas companies was lifted in August. The change does not apply to professional visit pass applications, which remain exempt from job advertisement requirements.
BAL Analysis: The new rules will prolong the employment pass application process for employers submitting applications in categories that were previously exempt. Companies should anticipate delays and can contact their BAL attorney for advice on the best options for moving employees to East Malaysia.
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What is the change? A wide range of new immigration policies that affect employers with MSC or ICT status took effect today.
What does the change mean? The Malaysian Digital Economy Corp. (MDEC) agency announced the changes last month, and they touch on issues ranging from new requirements for first-time and renewal employment pass applicants to passport validity rules and processes for parents of newborn children.
Background: The new policies cover a wide range of issues and were announced in piecemeal fashion last month. Among key changes:
MDEC also announced last week that it would increase its enforcement of requirements on employment pass holders who switch employers, including requiring EP Category I and II holders to provide a release letter from their previous employer and have their current employment pass canceled when switching employers in country. This is not a new rule, but affected EP holders should anticipate stepped-up enforcement based on MDEC’s announcement.
BAL Analysis: Employers should take note of the changes and be prepared to adjust business and travel schedules if necessary.
About Berry Appleman & Leiden LLP Founded in 1980, Berry Appleman & Leiden (BAL) provides comprehensive global immigration services from seven offices across the U.S. and from offices in Geneva, London, Melbourne, Rio de Janeiro, São Paulo, Shanghai, Singapore and Sydney. BAL manages global visa matters and customized application approaches for work permits, business visas, and residence permits in more than 100 countries. With a single cost center for worldwide operations, BAL offers centralized management with regional and local support for the complete spectrum of global immigration matters.
Source: Berry Appleman & Leiden LLP
What is the change? The Malaysian Digital Economy Corp. (MDEC) has announced that it will increase its enforcement of requirements on employment pass holders who switch employers in Malaysia.
What does the change mean? EP Category I and II holders will be required to provide a release letter from their previous employer and will have their current employment pass canceled when switching employers in country.
Background: The change arose out of ongoing discussions between Malaysia’s immigration authorities and MDEC. Additional changes are expected.
BAL Analysis: Employers should take note of the change and make sure their internal processes have been updated accordingly. Discussions between the immigration authorities and MDEC are ongoing. BAL continues to monitor developments and will provide updates if additional changes are announced.
What is the change? As a follow-up to last week’s announcement, the Malaysian Digital Economy Corp. (MDEC) has released an additional requirement calling for Category III Employment Pass holders to fulfill a three-month cooling-off period outside of Malaysia.
What does the change mean? Foreign employees applying for a fourth year of a Category III Employment Pass, either as a renewal or as a change of jobs, must exit Malaysia and serve a three-month cooling-off period.
Background: Employment Pass Category III covers foreign nationals working in Malaysia for up to one year who are paid below the normal minimum salary of 5,000 ringgits (about US$1,240) per month. This pass is initially valid for one year and may be renewed twice. According to the new rule, at the end of the third year, employers who wish to sponsor the Category III worker for a fourth year must wait until the worker has exited Malaysia and satisfied a 90-day cooling-off period before they may apply.
BAL Analysis: Employers should be aware of the additional change and its impact on business schedules. MDEC authorities are expected to release a circular with further details on all the changes before the Sept. 1 implementation date.
What is the change? Beginning Sept.1, the Malaysian Digital Economy Corp. (MDEC) agency will start implementing numerous new policies that will affect employers with MSC or ICT status and foreign national employees and family members.
What does the change mean? Some of the changes are similar to the immigration rules announced by Malaysia’s Expatriate Services Division last month, including the requirement that all employment pass applicants and their dependents obtain an approval letter before traveling to Malaysia.
The changes cover a wide range of immigration-related policies, summarized as follows:
Other changes:
BAL Analysis: Employers should be aware of the changes and how they affect business and travel schedules. MDEC authorities are expected to release a circular with further details before the Sept. 1 implementation date.