Are you having challenges to hire and manage employees in Malaysia?

Tap onto a wider talent pool in Malaysia to fast track your business expansion. 

  This is a common struggle for many high growth companies due to the language barriers, cultural differences and the complex, ever-changing employment laws.  Look no further than our employer of record solution.

  We provide a comprehensive employment solution, so you can focus on your core business while we take care of the rest.

Why Choose Our Employer of Record Solution?

1. Compliance with local employment laws
2. Reduced hiring time and cost
3. Minimized legal and financial risks
4. Dedicated HR support and expertise
5. Seamless onboarding and payroll management
6. Access to a wider talent pool

How Our Employer of Record Solution Works?

Our process is simple and efficient. First, we hire the employee on your behalf and become their  official employer.

  Then, we manage all legal and administrative tasks, including payroll, taxes,  benefits, and compliance.

  Finally, we work closely with you to ensure a smooth and successful
onboarding process.

Why Choose Us as Your Employer of Record?

1. Price transparency
Our solution offers complete transparency in pricing, so you know exactly what you’re paying for and can manage your workforce costs more effectively.

2. Compliance
Our all-in-one compliance management system simplifies HR processes across jurisdictions, freeing up your time to focus on growing your business.

3. Advisory
With our platform, you have access to local compliance experts who can guide you through the complexities of managing a distributed workforce, ensuring that you stay compliant with local laws and regulations.

Get Started Today : Don’t let the complexities of employment laws in Malaysia slow down your business growth.

Choose our employer of record solution and simplify your hiring process.

Contact us today to learn more and get started.

Malaysia Country Overview

Malaysia is a Southeast Asian country located on the Malay Peninsula and the island of Borneo.

  Malaysia has a population of about 32 million people, and the country is ethnically diverse, with Malay, Chinese, and Indian being the largest ethnic groups. Islam is the official religion, but the country also has a significant number of Buddhist, Christian, and Hindu citizens.

  Malaysia has a mixed economy, with a strong focus on exports, particularly of electronics, machinery, and petroleum products.

  The country is also a major producer of rubber and palm oil. Tourism is also an important contributor to the economy, with Malaysia being a popular destination for visitors from around the world.

Capital City

Kuala Lumpur


MYR (Malaysian Ringgit)

Principal Language

Bahasa Malaysia 


Federal parliamentary democracy

Employment Contracts

In Malaysia, there are several types of employment contracts that an employer can offer to an employee. These include:

1. Permanent contract: This is a long-term contract that does not have a fixed expiration date.

2. Temporary contract: This is a short-term contract that is usually for a specific project or task.

3. Part-time contract: This is a contract for an employee who works fewer hours per week than a full-time employee.

4. Internship contract: This is a contract for a student or recent graduate who is working in a company to gain practical experience.

5. Apprenticeship contract: This is a contract for a person who is learning a trade or craft through on-the-job training.

6. Freelance contract: This is a contract for a self-employed person who provides services to a company on a project-by-project basis.

It is important to note that employment contracts in Malaysia must be in writing and must be in accordance with Malaysian labor laws.

Working Hours

The standard working hours per week is 45 hours, with a maximum of 8 hours per day

Public Holidays

Here is a list of national holidays in Malaysia:

1. New Year’s Day: January 1st
2. Chinese New Year: January or February (date varies)
3. Labor Day: May 1st
4. Wesak Day: May or June (date varies)
5. Hari Raya Puasa: May or June (date varies)
6. Hari Raya Haji: July or August (date varies)
7. Malaysia Day: September 16th
8. Deepavali: October or November (date varies)
9. Christmas Day: December 25th

Employee Benefits

In Malaysia, employers are required to contribute to the following benefits for their employees:

1.Social security

Employers are required to contribute to the Social Security Organization (SOCSO), which provides protection for employees in the event of illness, injury, or death.

  The contribution rate is based on the employee’s salary and is typically shared equally between the employer and the employee.

2. Retirement

Employers are required to contribute to the Employees Provident Fund (EPF), which is a retirement savings scheme for private sector employees.

  The contribution rate is based on the employee’s salary and is typically shared equally between the employer and the employee.

3. Medical insurance

Employers are required to provide medical insurance for their employees through the Private Retirement Scheme (PRS) or the Employee Insurance Scheme (EIS). The contribution rate for these schemes is based on the employee’s salary and is typically shared equally between the employer and the employee.

Find out about AYP’s total workforce management solution today!

Learn more about AYP Global Pay, Asia Pacific’s smartest People and Payroll Management System. Contact our HR specialists to learn more.