HRD Corporation
HRD Corporation
The Human Resources Development Corporation (HRD Corp), formerly known as the Human Resources Development Fund (HRDF), is an organization governed by the Pembangunan Sumber Malaysia Berhad Act 2001. Its primary objective is to foster the development of high-quality human capital and a world-class workforce in Malaysia, aligning with the goal of achieving a high-income economy based on knowledge and innovation. As of 2021, the organization officially operates under the name HRD Corp.
Initially, HRD Corp collected funds from employers in the manufacturing and services sectors, as outlined in the first schedule of the Pembangunan Sumber Malaysia Berhad Act 2001. These employers were mandated to contribute to the Human Resource Development levy, set at a rate of 1.0% (or 0.5% for voluntary registered employers) of the monthly wages of each working employee. Monthly wages encompassed fixed salary and fixed allowance, while non-fixed remuneration, such as bonuses, commissions, or incentives, was not subject to HRDF.
In a recent development, HRD Corp has expanded its scope to include employers from all industries. If a business operates within a listed industry, it is now obligated to pay a levy for each working employee, with the rate ranging from 0.5% to 1.0%. This broader coverage ensures a more comprehensive approach to human resources development across various sectors in Malaysia.
The Human Resources Development Corporation (HRD Corp), formerly known as the Human Resources Development Fund (HRDF), is an organization governed by the Pembangunan Sumber Malaysia Berhad Act 2001. Its primary objective is to foster the development of high-quality human capital and a world-class workforce in Malaysia, aligning with the goal of achieving a high-income economy based on knowledge and innovation. As of 2021, the organization officially operates under the name HRD Corp.
Initially, HRD Corp collected funds from employers in the manufacturing and services sectors, as outlined in the first schedule of the Pembangunan Sumber Malaysia Berhad Act 2001. These employers were mandated to contribute to the Human Resource Development levy, set at a rate of 1.0% (or 0.5% for voluntary registered employers) of the monthly wages of each working employee. Monthly wages encompassed fixed salary and fixed allowance, while non-fixed remuneration, such as bonuses, commissions, or incentives, was not subject to HRDF.
In a recent development, HRD Corp has expanded its scope to include employers from all industries. If a business operates within a listed industry, it is now obligated to pay a levy for each working employee, with the rate ranging from 0.5% to 1.0%. This broader coverage ensures a more comprehensive approach to human resources development across various sectors in Malaysia.
24 Jan 2024
