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Malaysia Recruiting & Hiring

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Keeping up with Malaysia employment compliance laws is one of the trickiest parts of setting expanding your business. From how to recruit and hire employees to the best ways to onboard them, you’ll need to learn a lot before you officially establish your business. If these laws seem confusing, Malaysia hiring outsourcing is the best option. Globalization Partners is a global PEO with connections all around the globe to help you employ workers in Malaysia and stay compliant.

Recruiting in Malaysia

Recruiting and staffing in Malaysia requires a comprehensive understanding of the country’s culture and norms. When you know how to effectively communicate with candidates, you can make a great first impression that potentially leads to the best hire. Here are four tips to keep in mind while you’re working in the country.

1. Plan Around Short Breaks

While some countries make room for longer breaks in the afternoons, employees in Malaysia usually have short breaks. This breakdown could impact when you can meet with potential candidates if they already have jobs. Keep meetings with potential employees short if they take place during work hours, as interviewees may need to return to the office.

2. Remember That Meetings Have Official Start Times

In Malaysia, all work meetings have official start times as well as a designated individual who initiates the gathering. If you’re in charge of a meeting, you’ll need to call for everyone to assemble, then usher everyone involved toward the meeting location. This expected process could impact meetings with potential candidates, so remember that you’ll need to take the lead.

3. Understand Passive-Aggressive Behavior

Many workplaces in this country have problems with passive-aggressive behavior, which can include a professional blaming colleagues or failing to follow through on promises. Understanding this behavior can help you eradicate it and understand why potential candidates act the way they do during interviews.

4. Follow the Hierarchy

Businesses in Malaysia have a power hierarchy. For example, managers must be treated with respect by employees. As a result, those in lower positions use respectful titles when they talk to bosses or individuals with more power. It also means employees may treat you more formally than you’re used to or be slow to offer dissenting opinions.

According to the hierarchy, the most senior person will be introduced first along with their full professional title. Then, everyone will shake hands and say “Salam.” If you are greeting a higher-ranked person, remember that a slight bow is a sign of respect. You should expect this bow when you’re greeting a potential employee for the first time.

The Recruitment Process in Malaysia

Recruiting requires following the rules related to job criteria. In Malaysia, employers can specify gender, minimum academic requirements, and even physical abilities as long as they are relevant to the job. If you require qualifications unrelated to the position, you could face fines or penalties for discrimination.

This country is slow to adopt laws that meet market needs. There are currently no restrictions related to conducting background checks on potential employees by accessing public information, including available data from Facebook and other social media accounts.

Where to Advertise Open Positions

Before you try to hire employees, consider where you can find the best talent. Today, job portals are an important part of the staffing process in Malaysia. They’re becoming more prevalent, and they offer speed, convenience, a wider pool of candidates, and the chance to showcase your company’s branding.

Some of the most common online job portals include:

  • JobStreet
  • LinkedIn
  • WOBB
  • Sling
  • adnexio

Another option is working with a recruitment agency that will screen applicants for you. While doing so may save you time, these companies require a fee, and you may not get the exact candidates you’re hoping for.

You can also advertise in your industry’s trade publication if you’re looking for well-trained employees. Individuals who read these publications are typically familiar with the industry and understand everything necessary for the job. Newspaper ads can also provide results, but you’ll need time to set up the ads, schedule interviews, check references, and perform testing on candidates who may not be qualified.

How to Hire Employees in Malaysia

Employees in Malaysia expect businesses to run in a top-down manner. Decisions are slow, and hiring can take patience — especially since meetings often begin with personal conversations for everyone to get to know each other. Punctuality is also important, but many Malays arrive late for meetings, which could also include job interviews.

The best way to hire employees in Malaysia is by starting with an employment contract. Employers must create a written agreement before officially hiring an employee in Malaysia, but the employee will likely request changes to the signed contract. Malays often communicate indirectly, so employers need to read between the lines instead of trying to be blunt.

Malaysia Employment Compliance

For employees that will work for more than one month, you’ll need to write a contract that includes a variety of terms such as:

  • Work hours
  • Overtime
  • Benefits
  • Termination requirements
  • Salary

Part of Malaysia employment compliance consists of a standard workweek with eight-hour days for a total of 40 hours. Standard business hours in the country are 9 a.m. to 5 p.m. Monday through Friday. For every six days an employee works, you must give them one rest day, and you cannot force them to work on that day. Overall work hours per week cannot exceed more than 48, and any extra hours are subject to overtime.

How to Onboard Employees

There is no right or wrong way to onboard employees in Malaysia. However, some tips and tricks can make the first couple of days better for employees:

  • Review the employment contract in person before the employee’s first day to make sure the employee doesn’t want to change anything
  • Fly to Malaysia for the employee’s first day — or even first week — to make them more comfortable
  • Onboard several employees at one time to streamline the process
  • Designate a specific HR person from your parent company to help new employees, or choose Malaysia hiring outsourcing services

Benefits of Malaysia Hiring Outsourcing

Outsourcing your Malaysia hiring needs provides multiple benefits. Globalization Partners is a global PEO with extensive experience hiring employees in Malaysia. We know how to find top talent for your company, and we can bring them on quickly. Instead of waiting months to set up a subsidiary, we’ll hire employees on your behalf so they can start in a few days.

Why Choose Globalization Partners?

Globalization Partners is the team you need behind you to succeed in Malaysia. We’ll handle everything including Malaysia employment compliance and employee hiring. Contact us today to learn more.

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