Complete HRDF Guide for Malaysia 2026

HRDF (Human Resource Development Fund) is Malaysia’s national training subsidy scheme under the PSMB Act 2001. Employers in eligible sectors with 10 or more employees must register and contribute 1% of monthly payroll as a levy, which becomes a training fund they can claim back for approved programs.

Key points:

• Who must register: Manufacturing, services (IT, professional services, healthcare, education, finance, hospitality, logistics, real estate), and mining/quarrying employers with ≥10 employees. Exempt: agriculture, construction, government/statutory bodies, non-profits.
• Levy: 1% of monthly payroll. Example: RM250,000 payroll → RM2,500/month levy → RM30,000/year training allocation.

Maximum Claimable Amounts (2026)

• Training provider programs:
  • Classroom: up to RM10,000/day/trainer (group)
  • Individual: up to RM1,750/participant/day
  • Blended: up to RM5,000/program
  • E-learning: up to RM300/participant/program
• In-house training:
  • Internal trainers: up to RM3,000/day/trainer
  • Subject matter experts: up to RM5,000/day
• Specialized:
  • Overseas training: up to RM6,000/program
  • Study visits: up to RM3,000/visit
  • Conferences/seminars: up to RM1,500/participant

Typical subsidy percentages

• Large enterprises: 50–70% of training costs
• SMEs (SBL-KHAS): up to 100% for eligible programs
• Strategic industries (manufacturing, tech, healthcare): up to 80%

End-to-end claim process

1. Before training (2–4 weeks prior)

   • Verify HRDF registration, levy balance, and payment status via HRDNet.
   • Identify training needs and target employees.
   • Select HRDF-registered provider and obtain proposal (outline, trainer CVs, schedule, cost, expected claim).
   • Submit application via HRDNet before training starts (training plan, outline, participant list with IC, quotation, justification). Processing: ~5–10 working days.

2. During training

   • Collect and maintain: daily signed attendance (≥75% attendance per participant), training materials, assessments (pre/post), photos, trainer profile, feedback forms.
   • Avoid common rejection reasons: incomplete attendance, unqualified/unregistered trainers, missing evidence of delivery.

3. After training (within 30 days)

   • Submit claim via HRDNet with: signed attendance, certificates, provider invoice, proof of payment, training report, assessment results, feedback summary.
   • Processing: initial review 3–5 days; queries (respond within 7 days); total 14–30 working days; payment within 7 days after approval.
   • Track status in HRDNet and retain originals for at least 7 years for audit.

Special schemes

• SBL-KHAS (for SMEs):
  • SMEs (revenue < RM50m) in manufacturing, services, mining.
  • Up to 100% subsidy, priority processing, extended claim period.
  • Apply via HRDNet with SME Corp proof.
• PENJANA:
  • Focus: digital transformation & recovery (AI, automation, digital marketing, e-commerce).
  • Up to 80% subsidy.
• Industry-specific grants:
  • Manufacturing (Industry 4.0/automation): up to 90%
  • Healthcare (digital health/telemedicine): up to 85%
  • Financial services (FinTech/AI): up to 80%

Common mistakes

• Late application (after training starts) → automatic rejection.
• Incomplete documentation (attendance, trainer CVs, assessments) → delays/rejection.
• Levy payment delays → all claims frozen.
• Non-registered trainers → claim rejected.
• Attendance <75% → pro-rated or removed from claim.
• Poor job relevance → HRDF may reduce claim.

HRDF-claimable AI programs (examples)

• AI Fundamentals for Business Leaders (1 day): up to RM10,000.
• Practical AI Implementation Workshop (3 days): up to RM30,000.
• AI Governance & Risk Management (2 days): up to RM20,000.
• Prompt Engineering for Professionals (1 day): up to RM10,000.
• AI-Powered Workflow Automation (2 days): up to RM20,000.

Industry-specific AI focus areas

• Financial services: risk assessment, regulatory AI, customer AI.
• Healthcare: clinical AI, admin AI, patient engagement.
• Manufacturing: predictive maintenance, quality control AI, supply chain AI.
• Professional services: document AI, client intelligence, process automation.

Pertama Partners’ role

• HRDF-registered provider that:
  • Pre-training: checks eligibility/levy, designs training plan, assists application and follow-up.
  • During: manages attendance, assessments, documentation, compliance.
  • Post: compiles and submits claims, handles queries, tracks payment, prepares for audits.
• Reported: 98% approval rate, ~18-day average processing.

Maximizing HRDF

• Plan an annual training calendar (leadership, technical, certifications, AI/automation).
• Combine HRDF with SSM, MDEC, MIDA incentives.
• Mix in-house and external training strategically.
• Use cohort/group training to optimize per-head cost.

Key FAQs (condensed)

• Processing time: ~14–30 working days from submission; faster with complete docs and quick query responses.
• Online AI training: claimable up to RM300/participant/program if provider is HRDF-registered, platform tracks usage, assessments exist, and certificates are issued.
• If levy balance runs out: apply advance levy, use SBL-KHAS (for SMEs), top up directly (no claim beyond levy), or wait for new year contributions.
• Foreign trainers: claimable if provider is HRDF-registered, trainer qualified, profile submitted, and training held in Malaysia/virtually; up to RM10,000/day.
• Employee tenure: no minimum; any payroll employee is eligible if training is relevant and levy is current.
• Contractors/freelancers: not claimable (only payroll employees), except once converted to full-time.
• Rejections: can appeal within 30 days (except late applications and non-registered trainers). Fix by supplying missing documents or justifications.

Next steps to start HRDF-funded AI training

1. Verify HRDF registration and levy balance via hrdnet.psmb.my.
2. Define AI training needs and target participants.
3. Contact Pertama Partners (partners@pertamagroup.com, +60 11-1107 8568, pertama-partners.vercel.app/funding).
4. Co-develop an industry-specific AI training plan.
5. Submit HRDF application with Pertama Partners’ support and proceed with training upon approval.

Penjana HRDF: What Malaysian Companies Need to Know

The Penjana HRDF initiative was launched to support workforce reskilling and upskilling during Malaysia's economic recovery. Under Penjana, eligible employers receive additional training incentives beyond standard HRDF levy benefits. Key features include:

• Enhanced claim limits for digital skills training including AI, data analytics, and automation
• Extended coverage for gig workers and freelancers attached to registered companies
• Simplified claim processes with faster reimbursement turnaround

Companies already registered with HRDF can access Penjana benefits through the e-Tris portal. Contact your HRDF-registered training provider to discuss which programmes qualify under the current Penjana allocation.

How to Become an HRDF Certified Trainer

HRDF certified trainers enjoy preferred status when delivering training programmes to HRDF-registered companies. The certification process involves:

1. Application — Submit your trainer profile through the HRD Corp portal
2. Qualification Review — PSMB assesses your qualifications, experience, and training methodology
3. Train-the-Trainer (TTT) Programme — Complete the mandatory TTT programme (typically 5 days)
4. Assessment — Pass the practical training delivery assessment
5. Certification — Receive your HRDF Certified Trainer certificate, valid for 3 years

Requirements include a minimum of 3 years industry experience and relevant academic qualifications. Certified trainers can be found in the HRDF Certified Trainer List on the HRD Corp website.

Penjana HRDF: What Malaysian Companies Need to Know

The Penjana HRDF initiative was launched to support workforce reskilling and upskilling during Malaysia's economic recovery. Under Penjana, eligible employers receive additional training incentives beyond standard HRDF levy benefits. Key features include:

• Enhanced claim limits for digital skills training including AI, data analytics, and automation
• Extended coverage for gig workers and freelancers attached to registered companies
• Simplified claim processes with faster reimbursement turnaround

Companies already registered with HRDF can access Penjana benefits through the e-Tris portal. Contact your HRDF-registered training provider to discuss which programmes qualify under the current Penjana allocation.

How to Become an HRDF Certified Trainer

HRDF certified trainers enjoy preferred status when delivering training programmes to HRDF-registered companies. The certification process involves:

1. Application — Submit your trainer profile through the HRD Corp portal
2. Qualification Review — PSMB assesses your qualifications, experience, and training methodology
3. Train-the-Trainer (TTT) Programme — Complete the mandatory TTT programme (typically 5 days)
4. Assessment — Pass the practical training delivery assessment
5. Certification — Receive your HRDF Certified Trainer certificate, valid for 3 years

Requirements include a minimum of 3 years industry experience and relevant academic qualifications. Certified trainers can be found in the HRDF Certified Trainer List on the HRD Corp website.