M&N Group of Companies | Employment Pass Changes 2026 – Impact Readiness & Workforce Planning Survey
Malaysia will implement the revised Employment Pass (EP) salary thresholds effective 1 June 2026, introducing clearer differentiation between expatriate categories, with stronger expectations on succession planning, localization, and workforce sustainability.
At a glance – key changes:
EP Category I
• Current: RM10,000 and above
• Revised: RM20,000 and above
• Key Implication: Generally senior or strategic roles; more closely aligned with long-term regulatory direction
EP Category II
• Current: RM5,000 – RM9,999
• Revised: RM10,000 – RM19,999
• Key Implication: Stronger expectation for succession planning and structured knowledge transfer
EP Category III
• Current: RM3,000 – RM4,999
• Revised: RM5,000 – RM9,999
• Key Implication: More sensitive category; likely to face greater scrutiny and increased emphasis on localization planning
Organizations without structured workforce planning, succession frameworks, or knowledge transfer mechanisms may be required to further justify continued reliance on expatriate roles in future applications and renewals.
At M&N, our approach goes beyond compliance. We work closely with clients to anticipate regulatory shifts early, mitigate potential risks, and safeguard business continuity in Malaysia.
In parallel, we are developing a broader industry talent pipeline initiative together with our Workforce Talent Strategy & Transformation arm, Di PURBA International (www.dipurba.com) to support succession planning and local talent readiness.
We welcome your input via a 2-minute survey:
https://forms.office.com/r/xP5zMHXRpP
Your responses will help us better understand client needs and follow up where appropriate.
For further clarification, please feel free to contact:
Guchi – guchi@mnconsults.com
Reshem – mancon@mnconsults.com
