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RAMANAN ANNOUNCES IMPLEMENTATION OF LEVY EXEMPTION FOR PRIVATE EDUCATION INSTITUTIONS

KUALA LUMPUR, 14 January 2026 – YB Dato’ Sri Ramanan Ramakrishnan, Minister of Human Resources announced the exemption of Human Resources Development Levy payments for registered employers in the private education sector, in line with the Government’s decision made in 2025.

The exemption applies for a period of one year, from January 2026 to December 2026 that covers private education institutions, including preschools, schools, vocational institutions and higher education providers. The measure is expected to benefit more than 3,500 employers, with an estimated levy relief exceeding RM35 million.

Human Resource Development Corporation (HRD Corp) will implement this initiative which was first announced by YAB Dato’ Seri Anwar bin Ibrahim, Prime Minister of Malaysia, during the opening of National Training Week in June 2025.

YB Dato’ Sri Ramanan said, “The exemption is intended to strengthen Malaysia’s education ecosystem by ensuring institutions remain resilient, continue to nurture skilled, future-ready talent and safeguard the continuity and quality of education delivery.”

“As a foundational pillar of national growth, the education sector plays a critical role in nurturing future talent and strengthening Malaysia’s long-term human capital pipeline. This measure reflects the MADANI Government’s focus on enhancing talent and workforce development, as well as our commitment to supporting a sustainable and resilient education ecosystem,” he added.

Dr. Syed Alwi bin Mohamed Sultan, Chief Executive of HRD Corp, said, “HRD Corp supports this decision and will continue to work closely with KESUMA to facilitate the initiative, ensuring that eligible education institutions benefit from the measure to strengthen the education sector.”

Details on the implementation were shared during the Minister’s recent official working visit to HRD Corp, his first since assuming office in December 2025, accompanied by YB Datuk Khairul Firdaus bin Akbar Khan, Deputy Minister of Human Resources. The visit underscored close coordination between the Ministry of Human Resources (KESUMA) and HRD Corp in translating national workforce policies into effective implementation.

Under the existing levy framework, payments for January 2026 would ordinarily be payable on or before 15 February 2026, while levy payments for December 2026 would be payable on or before 15 January 2027. Eligible institutions will be exempted from these levy payment obligations for the specified period.

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