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.

If the company director is paid a salary, he/she is regarded as an employee of the company, whereas a director who only accepts director fees is not considered an employee.

Levy= (Total wages or basic salaries + fixed allowances) x 1%
[Basic salary is the unpaid salary of any payment]
*Only applicable for company with 10 or more Malaysian employees

Levy= (Total wages or basic salaries + fixed allowances) x 0.5%
[Basic salary is the unpaid salary of any payment]
*Only applicable for company with 5-9 Malaysian employees

Any employer to whom this Act applies and chose not to register with HRD Corp shall on conviction be liable to a fine not exceeding RM10,000 or to imprisonment for a term not exceeding one year or to both (Section 13(2)).

HRD Corp cannot confirm your eligibility through phone or email because they 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.​