Top 15 Employer of Record (EOR) Services in Malaysia 

Expanding into Malaysia is an exciting opportunity for global businesses. A multilingual workforce and a strategic location connecting Asia’s largest markets, Malaysia offers access to skilled professionals across tech, finance, manufacturing, and services sectors.

However, navigating the Employment Act 1955, EPF, SOCSO, EIS contributions, and local tax regulations can be challenging for international companies. This is where an Employer of Record (EOR) comes in, handling employment contracts, payroll, compliance, and benefits, so you can hire Malaysian talent quickly and legally without setting up a local entity.

This guide covers the top 15 EOR providers in Malaysia, helping you compare capabilities and features to make informed decisions.

Why Use an EOR in Malaysia

Expanding your business into Malaysia can be exciting, but it also comes with challenges. Local employment laws, payroll requirements, taxes, and benefits can be complicated for companies that don’t already have a presence in the country. This is where an Employer of Record (EOR) becomes a game-changer.

An EOR acts as the legal employer of your Malaysian workforce while you maintain full control over day-to-day operations. This means you can hire talent quickly and stay fully compliant with local regulations, without the hassle of setting up a local company. Here’s how an EOR helps your business:

• Hire legally without registering a local company: Setting up a legal entity in Malaysia can take months and involve multiple government approvals. An EOR allows you to legally hire employees immediately, so your business can start operations faster.
• Ensure full compliance with EPF, SOCSO, EIS, and taxes: Malaysia has specific employment regulations, including contributions to the Employees Provident Fund (EPF), Social Security Organization (SOCSO), and Employment Insurance System (EIS). An EOR ensures that all contributions, taxes, and filings are handled accurately, reducing the risk of fines or penalties.
• Reduce administrative burden: Managing payroll, contracts, benefits, and HR tasks for overseas employees can be time-consuming. An EOR automates payroll and HR processes, allowing your team to focus on core business activities instead of paperwork.
• Onboard talent quickly: Traditional hiring in a new country can take weeks or even months. With an EOR, employees can start working in 1–3 days, giving your projects momentum from day one.
• Access local expertise: Understanding Malaysian labor laws, cultural practices, and workplace norms is essential for smooth operations. EOR providers have in-depth knowledge of local regulations and customs, helping you avoid mistakes and integrate employees seamlessly into your global team.

Example: Imagine your company needs to hire software developers in Kuala Lumpur immediately. Without an EOR, you might spend months registering a local entity, preparing contracts, and navigating statutory requirements. With an EOR, you can start onboarding and paying employees within just a few days, while staying fully compliant with Malaysian labor laws.

Also Read: Why Malaysia Is a Prime Destination for Offshore HR Administrators

What to Look for in an EOR Provider

Choosing the right Employer of Record (EOR) in Malaysia can make a big difference in how smoothly your business expands. Not all providers are the same, some excel at compliance, others at speed or technology. Here are the key factors to consider, explained in simple terms:

1. Compliance Expertise

Why it matters:
Malaysia has specific labor laws and statutory requirements like EPF, SOCSO, EIS, and the Employment Act 1955. A small mistake in contributions, contracts, or filings can lead to penalties, fines, or legal problems. An EOR with strong compliance expertise ensures your employees are legally hired and all statutory obligations are met.

Example:

• AYP Group offers a zero-penalty guarantee, ensuring all filings and contributions are correct.
• FastLaneRecruit provides local compliance advisory, guiding your company through every step of Malaysian employment regulations.

2. Local Knowledge

Why it matters:
Each Malaysian state may have slight variations in labor laws, and understanding cultural norms is important for employee satisfaction. A provider with deep local knowledge helps you avoid mistakes, respect local regulations, and onboard employees smoothly.

Example:

• GPO Asia specializes in Malaysia-specific regulations for foreign companies.
• Second Talent provides hands-on guidance for regional hires, making integration easier for your team.

3. Onboarding Speed

Why it matters:
Time is critical when hiring overseas. Traditional hiring without an EOR can take weeks or months, delaying projects. Fast onboarding ensures your employees can start working almost immediately, boosting productivity and giving your business a competitive edge.

Example:

• Borderless AI can onboard new employees in 1–2 days.
• Skuad completes onboarding within 2–3 days, making it ideal for fast-growing teams.

4. Pricing Transparency

Why it matters:
Hidden fees, upfront salary deposits, or unclear pricing can quickly increase costs. Clear pricing ensures you know exactly how much you’re paying per employee, helping with budgeting and decision-making.

Example:

• FastLaneRecruit provides custom, upfront pricing, so you understand the total cost.
• AYP Group also lists clear, per-employee rates to avoid surprises.

5. Technology Platform

Why it matters:
A modern EOR platform automates payroll, contracts, and HR processes, making life easier for both employers and employees. Features like dashboards, mobile access, and HR system integrations save time and reduce errors.

Example:

• Deel and Papaya Global offer user-friendly dashboards and automated workflows.
• Borderless AI uses AI-driven tools to streamline compliance tracking and payroll management.

Also Read: HR Administrator Salary Guide 2025

6. Customer Support

Why it matters:
Hiring across borders can involve questions about contracts, benefits, or compliance. Responsive support ensures problems are resolved quickly and employees feel supported.

Example:

• Borderless AI offers 24/7 chat and email support, plus dedicated account managers for enterprise clients.
• FastLaneRecruit provides hands-on guidance with local experts available for advice and issue resolution.

Tip: When comparing EOR providers, think of them as partners, not just service providers. The right provider not only ensures compliance but also makes your Malaysia expansion seamless, faster, and stress-free.

Top 15 EOR Service Providers in Malaysia

Here’s a comprehensive guide to Malaysia’s top Employer of Record (EOR) providers for 2026. These providers help businesses hire legally, stay compliant with Malaysian labor laws, and manage HR processes efficiently.

Also Read: How to Hire HR Operations Analysts in Malaysia

1. FastLaneRecruit

Key Strengths: FastLaneRecruit stands out with deep local expertise and a strong compliance track record. Their team provides hands-on advisory support, ensuring that companies fully adhere to EPF, SOCSO, EIS, and Employment Act 1955 requirements. The platform is user-friendly and integrates seamlessly with HR systems, making payroll, contracts, and HR administration simple for global teams.

Why it matters: Businesses expanding to Malaysia can rely on FastLaneRecruit to navigate local regulations confidently, minimizing legal risks while onboarding talent efficiently.

2. AYP Group

Key Strengths: AYP Group offers a zero-penalty guarantee, giving companies peace of mind that compliance obligations are met without errors. Their advisory services help businesses understand Malaysian labor laws, including payroll, statutory contributions, and employment contracts.

Why it matters: Ideal for SMEs and regional businesses entering Malaysia for the first time, especially those seeking clear guidance on statutory compliance and HR processes.

3. Remote

Key Strengths: Remote is a global EOR platform known for full entity ownership and strong IP protection. Their platform supports operations in over 180 countries, offering advanced automation for contracts, payroll, and compliance.

Why it matters: Remote is perfect for technology-driven companies that need global scale, legal security, and robust regulatory adherence for Malaysian hires.

4. Deel

Key Strengths: Deel excels at automation and seamless contractor-to-employee conversion. Their platform simplifies Malaysian payroll, tax, and statutory benefits management while keeping HR processes centralized and digital.

Why it matters: Deel suits fast-growing startups that prioritize speed, automation, and a scalable approach to hiring talent in Malaysia.

5. Borderless AI

Key Strengths: Borderless AI leverages AI-driven compliance monitoring, ensuring real-time updates for EPF, SOCSO, and other statutory contributions. The platform is tech-enabled and integrates smoothly with existing HR systems.

Why it matters: Companies looking for rapid and accurate compliance while maintaining operational efficiency can benefit from Borderless AI’s automation capabilities.

Also Read: Why Outsourcing HRIS Administration Is a Smart Move for Global Companies

6. Oyster HR

Key Strengths: Oyster HR focuses on remote-first teams, providing bilingual contracts in English and Bahasa Malaysia. The platform promotes cultural integration and ensures statutory compliance for Malaysian payroll and benefits.

Why it matters: Ideal for distributed teams, Oyster HR ensures employees feel supported while businesses stay fully compliant with local regulations.

7. Papaya Global

Key Strengths: Papaya Global combines EOR services with workforce analytics and multi-entity management, giving businesses insight into payroll, HR processes, and regional staffing. Their platform is advanced and designed to handle complex workforce structures.

Why it matters: Best for companies managing multiple teams across different regions of Malaysia or APAC, requiring central oversight and regulatory adherence.

8. Velocity Global

Key Strengths: Velocity Global offers flexible contracts and scalable solutions. They provide expert guidance on Malaysian labor laws and support businesses as they grow, offering tailored compliance and HR services.

Why it matters: Suitable for scaling businesses that need adaptable employment solutions and local legal expertise.

9. Safeguard Global

Key Strengths: Safeguard Global is compliance-focused, especially for regulated industries like finance or pharmaceuticals. They provide detailed reporting and maintain audit-ready records for statutory contributions and employment compliance.

Why it matters: Companies in highly regulated sectors benefit from Safeguard’s attention to detail and rigorous compliance monitoring.

10. GPO Asia

Key Strengths: GPO Asia is Malaysia-focused, offering in-depth knowledge of local employment laws and statutory requirements. Their platform is user-friendly and supports full HR administration tailored to Malaysia’s legal framework.

Why it matters: Ideal for foreign companies entering Malaysia, ensuring all employment practices comply with the Employment Act and statutory contributions.

11. Knit People

Key Strengths: Knit People integrates payroll with accounting platforms like QuickBooks and Xero, streamlining financial and HR processes. Their platform ensures payroll accuracy and adherence to Malaysian labor laws.

Why it matters: Perfect for businesses that value seamless integration with existing accounting systems while maintaining compliance.

Also Read: How to Hire Payroll Specialists in Malaysia

12. Horizons

Key Strengths: Horizons provides multilingual support and tax compliance, helping businesses communicate effectively with local employees while managing statutory obligations. Their cloud-based platform centralizes HR data and payroll functions.

Why it matters: A good fit for companies hiring diverse teams and seeking clear oversight of Malaysian statutory compliance and tax filings.

13. Atlas

Key Strengths: Atlas uses a direct entity model and offers personalized service for Malaysian operations. They focus on local entity management, helping businesses stay compliant with regional employment laws.

Why it matters: Ideal for companies that want hands-on guidance and local legal control without relying solely on automated platforms.

14. Shield GEO

Key Strengths: Shield GEO offers white-glove service and dedicated account management. They provide full compliance support and ensure all statutory contributions are accurately handled.

Why it matters: Suitable for companies seeking premium, hands-on service and ongoing guidance for Malaysian workforce management.

15. Acclime Malaysia

Key Strengths: Acclime combines EOR services with corporate incorporation support, allowing businesses to hire while also setting up local entities if needed. Their team has strong knowledge of Malaysian employment and corporate law.

Why it matters: Best for companies planning long-term operations in Malaysia, combining HR and legal support under one provider.

Tip: When choosing an EOR, consider your business goals whether it’s fast onboarding, deep local expertise, or global scale. FastLaneRecruit is a strong choice for Malaysia-focused expansions, providing full compliance guidance, local advisory support, and a user-friendly platform to manage employees efficiently.

Tips for Choosing the Right EOR in Malaysia

Selecting the right Employer of Record (EOR) provider is crucial for a smooth and compliant expansion into Malaysia. Here are some practical tips to help you make the best choice:

1. Understand statutory contributions

Malaysia requires employers to contribute to EPF (Employees Provident Fund, 12–13%), SOCSO (Social Security Organization, ~1.75%), and EIS (Employment Insurance System, 0.2%). A reliable EOR will calculate, remit, and report these contributions accurately, ensuring your business stays fully compliant and avoids penalties.

Example: FastLaneRecruit and AYP Group provide full advisory support to ensure contributions are accurate every month.

2. Check onboarding speed

If your goal is to hire talent quickly, consider providers with fast onboarding capabilities. Some EORs can activate Malaysian employees within 10–30 days, while others may take 1–6 weeks.

Example: FastLaneRecruit, Borderless AI, and Skuad are known for their rapid onboarding, letting you start operations immediately without waiting for local entity setup.

3. Assess platform usability

A good EOR platform should make HR management easy. Look for:

• AI-driven dashboards to track payroll, contracts, and compliance in real-time
• Mobile accessibility so HR teams can manage employees on the go
• Seamless integration with your existing HR or accounting systems

Example: Deel, Papaya Global, and Borderless AI provide intuitive platforms that simplify payroll and HR administration.

Also Read: Why Malaysia Stands Out for Payroll and HR Shared Services

4. Prioritize local expertise

Malaysia’s labor laws and regulations can vary by state and sector. Choosing a provider with deep local knowledge ensures that employment contracts, statutory contributions, and compliance audits are handled correctly.

Example: GPO Asia and Second Talent specialize in Malaysian labor laws and provide guidance on employment contracts, local holidays, and termination procedures.

5. Compare total cost

Don’t just look at the monthly fee per employee, factor in setup costs, deposit requirements, and any hidden charges. Calculating the total cost of ownership helps you choose a provider that fits your budget while offering comprehensive services.

Example: FastLaneRecruit and AYP Group provide transparent, upfront pricing, so you know exactly what to expect without surprises.

Pro Tip: Balancing speed, compliance, and local knowledge is key. A provider like FastLaneRecruit offers the full package, rapid onboarding, regulatory guidance, and an easy-to-use platform, making it ideal for businesses entering the Malaysian market.

How FastLaneRecruit Supports Your Malaysia Expansion

Expanding into Malaysia can be complex, but FastLaneRecruit’s Employer of Record (EOR) service makes it simple, fast, and fully compliant. Here’s how we help businesses like yours succeed:

1. Full Compliance

FastLaneRecruit handles all the legal and statutory requirements so you don’t have to worry about penalties or audits. This includes:

• EPF contributions (12–13% of wages)
• SOCSO contributions (~1.75%)
• EIS contributions (0.2%)
• Payroll management for accurate and timely payments
• Employment Act 1955 compliance, including contracts, probation periods, leave, and termination rules

Example: If your company hires a software developer in Kuala Lumpur, FastLaneRecruit ensures their contract meets Employment Act standards, contributions are calculated correctly, and salary is paid on time without needing a local office.

2. Dedicated Advisory Support

FastLaneRecruit provides hands-on guidance from local experts, helping you navigate both regulatory and cultural aspects of Malaysian hiring. This means:

• Understanding state-specific labor laws
• Advising on public holidays, leave policies, and benefits
• Supporting multilingual communication with employees
• Offering tips on onboarding processes that suit Malaysian work culture

Example: A marketing team from Singapore wants to hire a local content specialist in Penang. FastLaneRecruit guides the team on legal employment requirements, local salary expectations, and best practices for integrating the new hire smoothly.

Also Read: Outsource Payroll Specialist Teams: A Guide for Global Employers

3. Streamlined Hiring Across Roles

Whether you’re hiring software developers, marketing specialists, customer service staff, or operational personnel, FastLaneRecruit ensures:

• Quick activation of employees without waiting months to set up a local entity
• Seamless HR management with payroll, benefits, and statutory compliance all in one platform
• Cost-effective solutions that reduce operational overhead while maintaining full compliance

Example: A tech startup needs three data analysts in Kuala Lumpur immediately. FastLaneRecruit can onboard all three quickly, handle payroll, manage EPF/SOCSO contributions, and provide guidance on compliance, all while keeping costs predictable.

4. Peace of Mind with Local Expertise

By partnering with FastLaneRecruit, your business can focus on growth and productivity rather than administrative headaches. Our local team ensures that your Malaysian operations are completely legal, efficient, and culturally aligned.

Conclusion

Malaysia presents immense opportunities for global businesses, but local employment laws and compliance obligations can be challenging. Partnering with a trusted EOR provider, especially one with local expertise like FastLaneRecruit, allows you to hire talent legally, onboard rapidly, and focus on growing your business.

When selecting an EOR, prioritize compliance, speed, technology, and local knowledge. The right provider not only reduces risk but accelerates your market entry and operational efficiency.

Ready to hire in Malaysia without the legal hassle?
Book a Free Consultation with FastLaneRecruit’s EOR Experts and start your Malaysia expansion smoothly and compliantly.

FAQ

Q1: What is an Employer of Record (EOR)?
An EOR is a third-party company that hires employees on your behalf, managing contracts, payroll, taxes, benefits, and compliance with Malaysian labor laws.

Q2: How much do EOR services cost in Malaysia?
Pricing ranges from $199 to $599 per employee/month depending on provider, customization, and service level.

Q3: Can an EOR handle visas and work permits?
Yes. Many EORs, including FastLaneRecruit, assist with employment passes and work permits for foreign employees.

Q4: Which industries benefit most from EOR services?
Tech, finance, consulting, manufacturing, and services sectors. Any company expanding without a local legal entity benefits from EOR services.