Hiring a domestic helper in Malaysia — and across the Klang Valley in particular — is not simply a private arrangement between two parties. It creates a formal employment relationship governed by multiple pieces of legislation. Missing any of these obligations — even unintentionally — exposes you to fines of up to RM10,000 or criminal prosecution. This guide covers everything you are legally required to do as an employer.
The Legal Framework
Several pieces of legislation govern the employer-helper relationship in Malaysia:
| Legislation | What It Governs |
|---|---|
| Employment Act 1955 | Employment contracts, leave, working hours, minimum terms |
| Employees' Social Security Act 1969 (SOCSO) | Mandatory PERKESO contribution for domestic helpers (since 2023) |
| Immigration Act 1959/63 | PLKS work permit, legal status of foreign workers |
| Employment Agencies Act 1976 | Licensed agency requirement for placement |
Understanding which law covers what helps you know where your obligations come from - and which government body enforces them. See our guide on why a licensed agency is legally compulsory for the broader legal picture.
SOCSO Registration
Mandatory
Since January 2023, all domestic helper employers in Malaysia are legally required to register their helpers under SOCSO (PERKESO) - the Social Security Organisation. This was extended to domestic helpers as part of the Employment (Amendment) Act 2022.
What this means for you:
- Register your helper with PERKESO within 30 days of her start date
- Contribution is made every month - employer contribution is approximately RM4.20 to RM7.70 per month depending on salary
- Registration is done online through the PERKESO portal (my.perkeso.gov.my) or through your licensed agency
Penalty for non-compliance: Fines of up to RM10,000. This applies to both failing to register and missing monthly contributions — penalties accumulate quickly when payments lapse.
For monthly payments, you have two options: manage it yourself through the PERKESO portal, or have us handle it on your behalf. We recommend letting us manage it. Monthly contributions are easy to overlook when life gets busy, and a few missed months can result in a significant penalty that far exceeds the cost of having it managed for you. This is offered as an optional service at an additional fee.
Written Employment Contract
Mandatory
A written employment contract is mandatory under the Employment Act. Both the employer and the helper must sign it, and each party must retain a copy. The contract must specify at minimum:
- Full name and identification (MyKad / passport) of both employer and helper
- Start date and duration (typically 2 years)
- Monthly salary amount
- Working hours and designated rest day(s)
- Annual leave entitlement
- Scope of duties
- Notice period for termination
A licensed agency prepares this contract for you. Do not begin employment without a signed copy in hand - it is your legal protection as much as the helper's.
Minimum Salary Requirements
Mandatory
Minimum salaries for domestic helpers are set through bilateral Memoranda of Understanding (MOUs) between Malaysia and the source countries, not through the Malaysian minimum wage legislation (which does not apply directly to domestic helpers):
| Source Country | Minimum Monthly Salary |
|---|---|
| Indonesia | RM1,500 per month |
| Philippines | RM2,100 per month |
These minimums are enforced through the PLKS permit process - the Immigration Department will not issue a work permit for a salary below the threshold. At contract renewal, the new salary must also meet the minimum. For the full cost picture, see our 2026 maid agency cost guide.
Work Hours, Rest Days and Leave
Mandatory
Under the standard MOU terms and Employment Act provisions:
- Rest day: At least one full day off per week. If the helper is required to work on her rest day, she must receive a day off in lieu (or additional compensation as agreed in the contract).
- Annual leave: Minimum 8 days per year for the first 2 years of employment. This is separate from public holidays.
- Public holidays: Helpers are entitled to 5 public holidays per year as a minimum under the Employment Act. Additional public holidays may be provided by agreement.
- Sick leave: Minimum 14 days per year (for service under 2 years) on production of a medical certificate. Sick leave is paid leave.
Medical Coverage
Mandatory
As the employer, you are responsible for your helper's medical expenses incurred during the contract period. Specifically:
- Outpatient medical treatment costs are the employer's responsibility
- You must provide (or pay for) personal accident insurance - this is typically arranged by the agency as part of the placement and covers accidental injury and death
- The FOMEMA medical screening fee at initial placement and at contract renewal is the employer's cost. See our FOMEMA guide for what the screening covers.
More comprehensive hospitalisation insurance is not mandated by law but is strongly advisable. Confirm exactly what insurance is provided as part of your agency's placement package.
Accommodation and Meals
Mandatory
Live-in domestic helpers must be provided with:
- Adequate private accommodation - a separate bedroom or a clearly private sleeping space with reasonable privacy and comfort
- Three meals per day or a reasonable meal allowance in lieu
- Basic personal necessities - toiletries and hygiene products
The standard of accommodation is assessed by the Immigration Department as part of the employer eligibility check. Providing inadequate accommodation is a breach of the employment contract and the MOU.
Repatriation at Contract End
Mandatory
At the end of the 2-year contract - whether or not you choose to renew - if your helper is returning to her home country, the original employer bears the cost of the return airfare. This is a standard requirement under both the Indonesian and Philippine MOUs.
Key scenarios:
- Contract not renewed / employer ends the arrangement: Employer pays return airfare
- Helper transfers to a new employer: Transfer hire - original employer may be released from repatriation obligation; confirm with your agency
- Helper abandons employment: The employer must still cancel the PLKS with the Immigration Department; liability for airfare depends on the specific circumstances and what is documented in the contract
For the full renewal and transfer process, see our contract renewal guide.
Frequently Asked Questions
Yes - as of January 2023 under the Employment (Amendment) Act 2022. All domestic helpers employed in Malaysia must be registered under SOCSO/PERKESO. Failure to register carries fines of up to RM10,000 and potential prosecution. Your licensed agency should assist with this as part of the onboarding process.
Yes. Under the Employment Act, domestic helpers are entitled to a minimum of 8 days annual leave per year and 5 paid public holidays. These must be specified in the employment contract. If required to work on a public holiday, the helper should receive a day off in lieu.
Salary deductions are tightly regulated under the Employment Act. Deductions for breakages or damage are generally not permitted. Deductions for advance salary repayment are allowed only if agreed in writing and must not reduce the helper's net pay below the contractual minimum. Seek advice from your agency before making any deductions.
Early termination requires the notice period specified in the employment contract (typically 1 month or payment in lieu). You must also cancel the helper's PLKS with the Immigration Department and arrange repatriation unless the helper is transferring to a new employer. Notify your agency - they will manage the documentation and process with the relevant authorities.