Employer Obligations Under Malaysian Law: Work Permits, Levy & Insurance

Hiring a foreign domestic worker in Malaysia comes with legal responsibilities. Understanding these upfront protects you from fines and ensures your worker is properly documented and covered.

Valid Work Permit (Pas Lawatan Kerja Sementara)

Your domestic worker must hold a valid work permit issued by the Immigration Department. Permits are valid for 12 months and must be renewed before expiry. Employing a worker with an expired permit is a criminal offence under the Immigration Act.

Annual Government Levy

Employers are legally required to pay the annual government levy, which varies by nationality. For Indonesian workers, the levy is currently RM 590 per year. Failure to pay results in the work permit not being renewed and the worker becoming undocumented.

FOMEMA Health Screening

All foreign workers must undergo FOMEMA health screening within 30 days of arrival and annually thereafter. Costs are borne by the employer. Workers who fail FOMEMA must be repatriated.

Mandatory Insurance Coverage

Employers must purchase a SPIKPA or SPPA insurance policy for their domestic worker. This covers medical expenses, repatriation, and accidental death. Without valid insurance, permit renewal is not possible.

Employment Act Protections

While domestic workers are not fully covered by the Employment Act 1955, they are entitled to one rest day per week, reasonable working hours, and humane treatment. The Domestic Workers Policy provides additional protections. Abuse or mistreatment can result in criminal charges.

Record Keeping

Keep copies of the worker's passport, work permit, insurance policy, and FOMEMA results. These documents may be requested during immigration checks or in the event of a dispute.

GLC Hire handles all permit renewals, levy payments, FOMEMA bookings, and insurance on behalf of our clients as part of our post-placement support service.