Malaysia’s new expat salary rules dubbed ‘ridiculous’, stoking fears of talent drain

South China Morning PostEN 1 min read 75% complete by Ushar DanieleJanuary 21, 2026 at 03:43 AM
Malaysia’s new expat salary rules dubbed ‘ridiculous’, stoking fears of talent drain

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Malaysia is implementing new rules in June that significantly increase the minimum salary requirements for expatriate Employment Pass (EP) holders. The policy aims to reduce the country's reliance on foreign labor and create more job opportunities for Malaysian citizens. The new rules double the minimum salary for senior managers to US$4,940 and skilled workers to US$2,470 per month. Employers may also be required to demonstrate a plan to transition expatriate roles to local workers. The move has been met with criticism from some expatriates and businesses who fear a talent drain and consider the new salary thresholds to be excessive.

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Very Negative
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Source
South China Morning Post
Classification Confidence
90%
Geographic Perspective
Malaysia

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