KUALA LUMPUR – Malaysia’s Ministry of Human Resources has clarified that there is no government ban on hiring foreigners in the country, and the perception that the government has prohibited private companies from employing foreign nationals is entirely incorrect.
This was stated by the Minister of Human Resources, Steven Sim Chee Keong, during an event. He mentioned that foreign workers coming to Malaysia contribute millions of ringgit to the national treasury when applying for work permits, including income tax and sales tax.
Minister Steven Sim Chee Keong said, “It is not accurate to claim that the government does not collect taxes from foreigners. In fact, foreign workers pay more taxes than local citizens.” He further stated that the government has received reports that some private companies are hiring more local workers due to fear of government action.
The minister clarified that every private company is allowed to hire up to 30% of its workforce from foreign nationals, and there are no exemptions or reductions in income tax or work permit requirements.
He also acknowledged that foreign workers are very hardworking, with their primary goal in Malaysia being to earn a livelihood and support their families.
The minister also informed that refugees holding UNHCR cards are permitted to take up certain types of jobs, providing private companies the option to hire foreigners or refugees if they are unable to find local workers.
He advised private companies to lodge complaints with the Ministry of Human Resources if any government official tries to prevent them from hiring foreign workers.
He emphasized that providing employment opportunities to local citizens remains the government’s top priority. However, this does not mean closing the doors to job opportunities for foreigners. “If a ban on hiring foreigners is enforced, no one would be willing to purchase a work permit, which would negatively impact government revenue,” he added.
This statement highlights the government’s recognition of the value of foreign workers and their significant contribution to the nation’s economy.