Business1 min read

Malaysia is making it easier for expats' spouses to work. Will that help retain foreign talent?

By · Published by Everything Blog

In short

Beginning January 1, 2027, Malaysia will permit spouses of top-tier Category 1 employment pass holders to seek employment while retaining their dependant status. To qualify for this category, primary expatriate workers must earn at least RM20,000 monthly. While business groups view the shift as vital for attracting talent, critics argue it does not resolve broader anxieties regarding long-term residency. Furthermore, recent immigration mandates requiring local succession plans and higher salary thresholds continue to weigh heavily on foreign professionals.

Key points

  • Enabling dual-career expat couples to work aims to improve Malaysia's international compe…: Enabling dual-career expat couples to work aims to improve Malaysia's international competitiveness against regional hubs like Singapore.
  • Business advocates believe allowing spouses to retain professional identities significant…: Business advocates believe allowing spouses to retain professional identities significantly aids foreign talent recruitment and retention.
  • Policy experts warn the upcoming reform fails to resolve broader expatriate anxieties reg…: Policy experts warn the upcoming reform fails to resolve broader expatriate anxieties regarding short visa durations and stringent residency rules.

Sources checked by our analysis pipeline: 1

For some expatriate families, a spouse's inability to find work can be a deal-breaker.

KUALA LUMPUR: Joshua Webley has seen some expatriate families’ carefully planned move to Malaysia crumble within months.

Webley, who is from the United Kingdom and has lived and worked in Kuala Lumpur for more than three years, helps expats relocate to Malaysia and navigate life in the country.

According to Webley, some expat families leave after just three months because a "trailing spouse" - the spouse of an expat with a job offer in Malaysia - could not find work in Malaysia despite having successful careers abroad.

“They can have every box ticked,” he told CNA, referring to how these families might have settled issues like moving their belongings and pets, and finding property and schools in Malaysia.

“But as soon as it comes to the point where life actually settles down and they realise that they can't find jobs, they've been leaving.”

This is what Malaysia is trying to change in a bid to attract and retain talent.

In his budget speech in October, Prime…

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