Human Resource Development Fund (HRDF)
The Malaysian government entity HRDF is primarily in charge of promoting and sponsoring employee development initiatives. Business owners are typically compelled to pay a portion of their payroll into HRDF, and this money is used to support a variety of initiatives and training programs for Malaysian workers.
Why Should I Contribute?
It would be a good idea for employers to contribute to a HRDF account for the following reasonings:
- Invest in Employees: It funds employee training, improving skills and productivity.
- Boost Competitiveness: Trained employees make the business more competitive.
- Access Funding: It provides access to financial support for training initiatives.
- Compliance: It ensures compliance with government regulations regarding employee development.
- Long-term Success: Investing in employee growth contributes to the company's long-term success.
In short, having an HRDF account benefits both your business and employees.
Am I Eligible to Contribute?
If your registered business has at least 10 workers working for it and has a current business registration number, it is qualified. It would be wise for your business to hire Malaysian citizens or permanent residents as HRDF primarily supports local Malaysian employees.
Should My Company Have an HRDF (HRDCorp) Account?