Hire employees in Malaysia, hassle-free

With Deel, your business can easily hire employees in

Malaysia

. No more worrying about local laws, complex tax systems, or managing international payroll. Deel takes care of everything in 150+ countries.

Request a demo

Hire employees in Malaysia No entity needed.

Usually, to hire in

Malaysia

,  your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months. 

Malaysia

also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in

Malaysia

quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.

All the necessary benefits for Malaysia built right in

Deel allows you to provide localized benefits for employees in

Malaysia

within minutes. All in one manageable online dashboard.

Social Security
Health Insurance
Worker Compensation Insurance
Pension

Quick Overview

Currency: Ringgit (RM)

Capital: Kuala Lumpur

Official language: Malay

Payroll Cycle: Monthly

Statutory Holidays

Paid Time Off

In Malaysia, employees are entitled to paid holidays based on the length of the labor relationship:

  • Up to 2 years of employment - 8 days of paid leave
  • 2 - 5 years of employment - 12 days of paid leave
  • 5+ years of employment - 16 days of paid leave

Public Holidays

Public Holidays highly varies and there is a minimum of 11 days. Some public holidays only apply to certain regions.

  • New Year’s Day
  • Thaipusam
  • Federal Territory Day
  • Merdeka Day
  • Malaysia Day
  • Christmas Day
  • Prophet Muhammad’s Birthday
  • Agong's Birthday
  • Chinese New Year

General Taxation

Individual Income Tax

The average ranges up to 30% and will depend on many variables, such as marital status, level of income among others.

Employer Cost

Approximately, 14% - 15% of employee salary

Additional information

Employment Contract Details

Contracts must be in writing and should include a termination clause. Agreements can be in English and should describe the position offered, place of work, basic wage, working hours, among others.

Probation Period

There is not mandatory period, however common practice is between 3 to 6 months.

Minimum Wage Requirements

The monthly minimum wage is RM 1,200.

Maximum working hours and overtime

Standard working hours is from Monday to Friday, 8 hours per day and 40 hours per week. Standard daily hours is from 9am to 1pm and 2pm to 6pm.

Parental Leave

  • Maternity Leave: employees are entitled to paid leave for a minimum of 2 months if they have been employed for the last 4 months and have worked for the same employer for at least 3 months in the 9 months prior to childbirth. Maternity leave is paid by the employer, and the employee will receive full salary during this leave.
  • Paternity Leave: employers are not required to provide paternity leave. However, is common practice to grant at least 3 working days of leave.

Sick Leave

Employees are entitled to 2 months of hospitalization leave per year. A medical certificate is required under all circumstances. Sick leave is paid by the employer as a 100% of the salary.

If hospitalization is not required the amount of sick leave days will depend on the length of employment, which ranges from 14 to 22 days:

  • Less than 2 years of employment - 14 days of sick leave
  • Between 2 and 5 years of employment - 18 days of sick leave
  • More than 5 years of employment - 22 days of sick leave

Termination requirements for employees

Severance pay will depend on the reasons for dismissal or employment termination. Court case due to unfair dismissal may lead to payment of 24 months of salary.

Notice Period

In Malaysia, the notice period is based on the length of the labor relationship:

  • Up to 2 years of employment - 4 weeks’ notice
  • 2 - 5 years of employment - 6 weeks’ notice
  • 5+ years of employment - 8 weeks’ notice

However, it is common practice to give more than 2 months' notice.

Employees must resign with 1 month's notice.

We have a 4.7 out of 5 rating on Trustpilot

We're trusted by over 1,400 businesses all over the world. Read our reviews on Trustpilot.com.

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Reviewed
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Deel is the best!!

"

Deel is an amazing platform! It's super intuitive and user friendly, plus it runs suuuuper smoothly!! It has great options for paying and withdrawing money, plus it helps you keep super organized with your spending. They also have great support and are super friendly with all the questions you might have :D I would definitely recommend it!!

..."

Manuela Echeverry
Nov 20, 2020
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Reviewed
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A contracting life-changer!

"

This has by far the singular tool that made my contracting work amazing. It used to be that contract management and payouts was a nightmare — Deel makes everything so easy especially with its Transferwise integration. Everyone gets paid on time and kept happy. I also contacted their support a couple of times for some small questions and they’ve been nothing short of amazing. If you’re a contractor or someone who hires contractors then definitely give Deel a go.

..."

Kix Panganiban
Dec 3, 2020
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Reviewed
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Terrific service

"

Great service, amazing customer care, terrific platform, both for the company and for the contractors/employees. Saving everyone's time and money

..."

Nunzio Martinello
Dec 15, 2020
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Reviewed
This is some text inside of a div block.
Deel is a game-changer for distributed teams

"

Deel has been instrumental in helping us both open and operate our EU operations. It's super simple to set up and implement and the support team has been world-class. I can't recommend them enough!

..."

Jeremie Habib
Nov 16, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Great app with great customer service

"

Great app with great customer service, with great attention to details and legal requirements. Looking forward to keep using it!

..."

Felipe Marote
Jan 29, 2021
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Reviewed
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Great service offering!!

"

The Deel platform has been super effective for my team and I and has enabled us to bring on workers globally. The platform allows us to onboard individuals seamlessly and with no issues at all. Highly recommend.

..."

Michael US
Nov 20, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Deel is the best!!

"

Deel is an amazing platform! It's super intuitive and user friendly, plus it runs suuuuper smoothly!! It has great options for paying and withdrawing money, plus it helps you keep super organized with your spending. They also have great support and are super friendly with all the questions you might have :D I would definitely recommend it!!

..."

Manuela Echeverry
Nov 20, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
A contracting life-changer!

"

This has by far the singular tool that made my contracting work amazing. It used to be that contract management and payouts was a nightmare — Deel makes everything so easy especially with its Transferwise integration. Everyone gets paid on time and kept happy. I also contacted their support a couple of times for some small questions and they’ve been nothing short of amazing. If you’re a contractor or someone who hires contractors then definitely give Deel a go.

..."

Kix Panganiban
Dec 3, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Great service offering!!

"

The Deel platform has been super effective for my team and I and has enabled us to bring on workers globally. The platform allows us to onboard individuals seamlessly and with no issues at all. Highly recommend.

..."

Michael US
Oct 28, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Terrific service

"

Great service, amazing customer care, terrific platform, both for the company and for the contractors/employees. Saving everyone's time and money

..."

Nunzio Martinello
Dec 15, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Deel is a game-changer for distributed teams

"

Deel has been instrumental in helping us both open and operate our EU operations. It's super simple to set up and implement and the support team has been world-class. I can't recommend them enough!

..."

Jeremie Habib
Nov 16, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Great app with great customer service

"

Great app with great customer service, with great attention to details and legal requirements. Looking forward to keep using it!

..."

Felipe Marote
Jan 29, 2021

We have a 4.7 out of 5 rating on Trustpilot

We're trusted by over 1,800 businesses all over the galaxy.
‍Read our reviews on Trustpilot.com.

Nov 16, 2020
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Reviewed
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Finally, the arrival of a stellar product.

"

Learning to speak to communicate with extraterrestrials was insanely hard. Hiring them with Deel? Now that was simple.

..."

Amy Adams, Arrival
Nov 16, 2020
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Reviewed
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Me, myself, and Deel!

"

Working on Mars alone for so long got old. Deel made hiring all-star farmers a dream for me.

..."

Matt Damon, The Martian
Nov 16, 2020
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Reviewed
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Stop floating through hiring

"

I spent a lot of time floating around trying to find the best hiring solution. With Deel, I can stay grounded with an out-of-this-world team.

..."

Sandra Bullock, Gravity
Nov 16, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Finally, the arrival of a stellar product.

"

Learning to speak to communicate with extraterrestrials was insanely hard. Hiring them with Deel? Now that was simple.

"

Amy Adams, Arrival
Dec 3, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Me, myself, and Deel!

"

Working on Mars alone for so long got old. Deel made hiring all-star farmers a dream for me.

"

Matt Damon, The Martian
Oct 28, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Stop floating through hiring

"

I spent a lot of time floating around trying to find the best hiring solution. With Deel, I can stay grounded with an out-of-this-world team.

"

Sandra Bullock, Gravity
Dec 15, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Terrific service

"

Great service, amazing customer care, terrific platform, both for the company and for the contractors/employees. Saving everyone's time and money

..."

Nunzio Martinello
Nov 16, 2020
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Deel is a game-changer for distributed teams

"

Deel has been instrumental in helping us both open and operate our EU operations. It's super simple to set up and implement and the support team has been world-class. I can't recommend them enough!

..."

Jeremie Habib
Jan 29, 2021
This is some text inside of a div block.
Reviewed
This is some text inside of a div block.
Great app with great customer service

"

Great app with great customer service, with great attention to details and legal requirements. Looking forward to keep using it!

..."

Felipe Marote

Chat to our team about compliantly hiring on Mars

Request a demo