The registration of employers is stipulated in the Pembangunan Sumber Manusia Berhad Act 2001 (PSMB Act 2001).
If your company employs a minimum of ten (10) or more
Malaysian employees, it is compulsory for you to register with Human Resource
Development Corporation (HRD Corp). If your company employs five (5) to nine
(9) Malaysian employees, your registration with HRD Corp is optional. For more
information, please visit the Expansion of PSMB Act 2001 webpage (https://hrdcorp.gov.my/expansion-of-psmb-act-2001/)
2. What do I do after my registration application is approved?
Companies that have registered with HRD Corp are responsible to pay a monthly Human Resource Development (HRD) levy of 1% (mandatory category) or 0.5% (optional category) from the company’s monthly wages plus fixed allowances.
By paying the levy, you are eligible to receive assistance through HRD Corp’s levy or grant system to retrain or upskill your employees. Prior to sending your employees for training programmes, you have to apply for a training grant approval. Upon completion of the training programmes, you can claim a reimbursement for all expenses incurred. The amount allowed for reimbursement is subject to the approved amount or the actual expenses incurred, whichever is lower. Reimbursements can be made directly to the employer or the training provider, depending on the type of schemes selected.
3. How long does it take to process my registration application?
An employer registration process takes up to 3 days if all required documents are correct and complete.
4. How will I know whether my application is successful?
Successfully registered employers will receive the following e-mail notifications:
5. What is Form 1 (Registration of Employer)?
Form 1 is the form that must be filled by a company with
more than 10 Malaysian employees and where the nature of the business of the
company is covered under the PSMB Act 2001.
6. What will happen if I ignore the letter of registration from HRD Corp assuming that I am not liable to the PSMB Act 2001?
If HRD Corp does not receive any response from employers within 30 days, employers can be compounded for up to RM2,000 under Section 4A of the Regulation of the Act. The eligibility of employers under the Act can only be decided by HRD Corp and not by the employers themselves. Employers are advised to fill in Form 1 to receive an official confirmation from HRD Corp on their eligibility.
7. If I fill in and submit Form 1, will I be registered automatically?
Only employers that fulfill the sector and subsector criteria meted out in the PSMB Act will be registered. If the employers’ sector is not covered under the Act or if they are not liable, then their Form 1 submission will be automatically rejected. The employer will receive a rejection letter. HRD Corp will not register any employers that are not liable under the PSMB Act 2001.
8. Can I just call or email HRD Corp to confirm my eligibility?
HRD Corp cannot confirm your eligibility through phone or email because we need to verify the supporting documents as well as the information filled in the form. Your eligibility can only be confirmed after Form 1 has been processed by HRD Corp.
9. Why should I register with HRD Corp?
Beyond the fact that registration is compulsory for
employers that fulfill the sector criteria under the law, employers should
register with HRD Corp to enjoy a wide range of support for their employees'
professional development and skills enhancement initiatives.
10. How can I get more information on HRD Corp and the registration of employers?
Employers can visit our portal at www.hrdcorp.gov.my and
click ‘Employer’ for more information.
11. Who is eligible under the expansion of the Act?
Malaysian employers across all sectors except for Federal, State Government & Statutory Bodies and NGOs with a minimum of ten (10) local employees that conduct the following activities:-
12. How do I check my eligibility as an employer to register with HRD Corp?
Employers can submit their Form 1 online via the HRD Corp
portal at www.hrdcorp.gov.my > Employers > Click Here for Registration
13. When is the effective date of the Expansion of the Act?
The Expansion of the Act comes into force on 1 March 2021.
14. How does an eligible employer register their company with HRD Corp?
Employers covered under the PSMB Act 2001 are required to complete the Employer Registration Form (Form 1) and submit it online at www.hrdcorp.gov.my
The mentioned form should be returned/submitted together
with Form 9 or other business registration license and company profile / annual
return / financial audit report, and the latest employees provident fund (EPF)
statement.
15. Do the employers with lesser than 10 employees are required to submit Form 1?
Yes. Employers are still required to submit the form with
the relevant supporting documents to justify the current number of manpower if
the employers receive a reminder letter or email from HRD Corp to submit Form
1.
16. How do I check my application status?
Approved / successfully registered employers will receive an email notification on the approval and a second email containing the following:
• User ID and Password to access HRD Corp System (e-TRiS)
• Invitation to attend the onboarding session
The onboarding session is a customised training programme to
provide an overview and understanding for newly HRD Corp-registered employers
on how to use the system for grant application, levy payment, claim submission
and updating of employer’s information.
17. Who should I refer to for the re-submission of documents or to answer any queries from HRD Corp?
Our processing officer shall be in contact with you via
email for any query. Alternatively, you may drop them an email to latifah@hrdcorp.gov.my