10 Sectors/industries added to contribute to the Human Resource Development Fund Levy…

With Effect from 16 Mei, 2001, Human Resources Development Council was set-up. The objective is to encourage employers to retrain and upgrade the skills of their employees. The aims are to

  • Enhance Employees’ quality & productivity
  • Competitive and viable
  • Life-long learning

Under Pembangunan Sumber Manusia Berhad Act, 2001, Human Resource Development Levy is a Compulsary payment to Human Resource Development Fund (HRDF).

Sectors and Industries covered under the Act
a) Manufacturing Sectors
b) Services Sectors

a) For Manufacturing Sectors

b) For Services Sectors ( 12 services sectors)

12 services sectors
1) Hotel Industries
2) Telecommunications
3) Travel agency (in-bound tour)
4) Shipping
5) Computer services
6) Post and courier
7) Freight forwarding
8) Advertising
9) Aviation
10) Training provider
11) Higher private education institution
12) energy

With effect from 1 January 2005, 10 additional sectors/industries have been added to contribute for Human Resource Development Fund (HRDF).

1) Direct selling
2) Port services
3) Engineering maintenance and support
4) Research & development
5) Bonded warehouse
6) Accounting and audit firm
7) Engineering consultant
8) Security firm
9) Private hospital
10) Hypermarket, supermarket ( employers with 50 or more employees)

Definition of Employee
Malaysian citizen Employee

  • Temporary
  • Contract
  • Permanent

Calculation of Levy
(Basic salary + fixed allowance) x 1%

Levy for a particular month has to be paid not later than the last day of the following month.