Malaysian authorities have announced stricter procedures for canceling work permits (“Passes”) effective November 18, 2025:

• The Pass shortening application must be submitted online via the employer’s ESD account  before the foreign employee’s final departure, even if they leave on the actual Pass’ expiry date;
• A receipt is then sent to the employee, who must present it to the authorities upon request;
• If this obligation is not met, the employer has 30 days from the Pass’ expiry date to complete the exit clearance;
• If they don’t, the authorities may restrict the company’s access to new work permits.

Some details of this new regulation remain unclear, particularly regarding dependents who leave the country before the employee.

Find all details in our partner’s update and in the authorities’ FAQ.