Malaysia Work Permit Process: Common Rejection Reasons and How to Avoid Them

Understanding the Malaysia Work Permit Process in 2025

As Malaysia continues to tighten regulations on foreign talent, companies seeking to hire expats in 2025 are facing increased scrutiny from immigration and regulatory authorities. From stricter documentation standards to evolving compliance requirements, many companies are seeing their visa applications delayed or outright rejected — sometimes without clear explanation.

In this week's Expat Compliance Series, we explore the most common reasons applications under the Malaysia work permit process get rejected, and explain how working with an Employer of Record (EOR) can help mitigate these risks and ensure compliance.

1. Incomplete or Inconsistent Documentation

One of the most frequent causes of rejection in the Malaysia work permit process is missing or inconsistent paperwork. This includes incomplete forms, unsigned documents, or discrepancies between submitted records and official databases.

Example: A submitted resume that doesn’t match the academic qualifications listed, or a job offer letter without the company stamp.

How EOR helps: An EOR acts as a compliance partner. They know exactly what documentation is required, ensure everything is complete and accurate, and align submissions with the most current requirements. This minimizes the risk of administrative errors that result in rejection.

2. Weak or Vague Job Justifications

Immigration authorities now demand a compelling and specific reason for hiring a foreigner over a local candidate. Generic explanations like “language skills required” are no longer acceptable. The justification must be clearly tied to business needs and supported with evidence of local hiring efforts.

Example: A company hiring a Mandarin speaker for a business role fails to explain why no qualified local candidates were available.

How EOR helps: An EOR crafts job justification letters that meet immigration standards. They highlight industry relevance, explain the need for a foreign skill set, and strengthen your position during the Malaysia work permit process.

3. Not Meeting Salary and Qualification Thresholds

Malaysia has strict salary and qualification requirements for foreign hires, particularly under the Employment Pass category. If the salary offered or candidate qualifications fall short, the application is likely to be denied.

Example: Offering RM4,000 for a role that requires a minimum salary of RM5,000 under the current guidelines.

How EOR helps: EORs understand these thresholds in detail. They ensure that salary offers and job scopes are in line with the latest policies, which helps companies meet the criteria under the Malaysia work permit process.

4. Applying Under the Wrong Pass Category

Every type of work permit in Malaysia serves a specific purpose, and choosing the wrong one is a common mistake. For example, short-term assignments require a different pass than long-term employment roles.

Example: Submitting an Employment Pass application for a short-term consultant who qualifies only for a Professional Visit Pass.

How EOR helps:An EOR can determine the most suitable pass category and guide the application accordingly, preventing misclassification and potential rejections in the Malaysia work permit process.

5. Using Outdated Guidelines or Ignoring Policy Updates

Malaysian immigration policies are subject to change — sometimes with little notice. Using outdated forms, references, or procedures can lead to automatic disqualification.

Example: Submitting forms from a previous year, or referencing an expired salary requirement.

How EOR helps: An EOR stays updated on all regulatory changes. They ensure applications align with the current standards of the Malaysia work permit process and help employers stay compliant year-round.

Why Choose an Employer of Record (EOR)?

An Employer of Record (EOR) serves as the legal employer for foreign talent in Malaysia. Beyond managing payroll and HR responsibilities, the EOR oversees the entire Malaysia work permit process — from documentation and job justification to compliance and communication with government agencies.

With an EOR, you benefit from:

• Complete and accurate documentation

• Correct classification and visa category guidance

• Updated compliance with salary and qualification benchmarks

• Faster application approvals and fewer rejections

• Ongoing regulatory support and local insights

  
  

Final Thoughts

Navigating the Malaysia work permit process in 2025 requires more than just submitting forms. It demands detailed justifications, awareness of shifting regulations, and careful preparation.

For companies seeking to avoid costly delays and ensure smooth onboarding of foreign hires, partnering with an EOR provides clarity, assurance, and results. It’s not just a compliance solution — it’s a strategic business move.