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Contract Renewal, same company but diff status

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seren140

Hi. So it will be almost nearing my contract end period. I was hired by this company but i was placed under agency. They will renew the contract but I heard from other expats that there's new ruling about renewals. So we'll be given 2 options. first was to renew under same status, meaning we'll still be under agency. 2nd was they will absorb as direct hired, but there's a catch. in the event our salary won't reach 5k, we need to exit malaysia for 3 mos.

so my question, is there a new ruling in immigration about the exit? technically, yes we'll be under new employer in papers since we were put under agency previously. if they will absorb us and be direct hired employees, the company will be our employer now.

i want to know if such ruling exists. as much as i don't want to be under agency contractor status anymore, i think 3 mos is too much.

please advise.

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Gravitas

There is an existing rule for Category 3 Employment Passes that a change of employer within same category requires a Cooling Off period of 3 months.

If you check the ESD guide on their website it provides details.

The new recruitment would include medical, security, VDR etc.

What concerns me is how many foreign hires the end employer can actually absorb based on the Quota system (which could be why the use an Outsourcer)

seren140

oh that explains why. they didn't specifically explained that part. they just told the other expat that if their salary would not reach 5k, the exit and holding period will be 3 mos. so it's connected with category then.

another question, by salary it means just the basic right? excluding the allowances?

thanks!

Gravitas

Yes. Based on basic salary

seren140

so if ever i will do transfer / be absorbed and i would have a change in category, do i still need to go back to my home country? to get the new visa?

Gravitas

If you go from Category 3 to Category 2 there is no Cooling Off required.

After 2 renewals, ie 3 yrs in total on Category 3, the current rule is a Cooling Off is required.

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