Required certification · Malaysia
HRD Corp
Training-levy registration for employers with 10+ employees
Market position
The statutory body under the PSMB Act 2001 that manages the HR-development levy and training-grant ecosystem, with registration via the eTRiS portal.
Malaysia-specific note
Under s.13(1) PSMB Act 2001, once you reach 10 Malaysian employees you must register and pay a 1%-of-wages levy (5–9 employees may opt in at 0.5%) — but a contractor can claw it back to fund CIDB Green Card and safety courses.
Pros
- + The levy is reclaimable as training grants (e.g. CIDB/safety/technical courses)
- + Straightforward eTRiS registration
- + Supports workforce upskilling for a growing contractor
- + Funds the safety training the industry needs
Cons
- − Compulsory at 10+ employees
- − Monthly 1% levy on wages
- − Failure to register risks a fine up to RM10,000 and/or 1 year's imprisonment
- − "Use-it-or-lose-it" if grants go unclaimed
Typical Malaysia pricing
No registration fee; levy 1% of wages (10+ employees) or 0.5% (optional, 5–9).
Why this matters for Malaysia trades
CIDB (the Construction Industry Development Board) registers and grades contractors G1–G7 by project value and issues the mandatory Green Card for site workers under Act 520 — registration is required to undertake or bid construction work; LHDN/IRBM runs income tax, SST and the MyInvois e-invoicing system (XML/JSON with a validated UIN and QR code); SSM (the Companies Commission of Malaysia) handles company incorporation; the Board of Engineers Malaysia (BEM) registers engineers; and employers must register every worker with EPF/KWSP (provident fund), SOCSO/PERKESO (social security) and EIS.
Malaysian construction & trades software selection is shaped above all by MyInvois — the national e-invoicing system run by LHDN/IRBM (the Inland Revenue Board), phasing in by turnover (largest firms since August 2024, mid-market through 2025, businesses above RM1m from January 2026, and the smallest firms following). Construction is treated as a special case: many progress claims and certain transactions must be e-invoiced individually rather than batched into a monthly consolidated e-invoice — so "MyInvois-ready / LHDN-compliant" is the lead selling point for local accounting and construction-ERP vendors. Add the Ringgit (MYR), SST (Sales & Service Tax, not VAT), CIDB G1–G7 contractor grading across ~130,000 registered contractors, and a government digitalisation grant nudging SMEs onto the software. Business runs in English.
Frequently asked
Is HRD Corp a good fit for Malaysia trades?
The statutory body under the PSMB Act 2001 that manages the HR-development levy and training-grant ecosystem, with registration via the eTRiS portal. Under s.13(1) PSMB Act 2001, once you reach 10 Malaysian employees you must register and pay a 1%-of-wages levy (5–9 employees may opt in at 0.5%) — but a contractor can claw it back to fund CIDB Green Card and safety courses.
What does HRD Corp cost in Malaysia?
No registration fee; levy 1% of wages (10+ employees) or 0.5% (optional, 5–9).. Pricing and availability can change by region — confirm current Malaysia pricing on the vendor's site before committing.