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HUMAN RESOURCE DEVELOPMENT FUND (HRDF)

What is HRDF

HRDF as known as Human Resource Development Fund. The fund is designed to improve the quality of human capital and the quality of first-class employees, which can also be said to encourage employers to actively train their employees to improve their working ability and efficiency.

Benefit of HRDF 

The employers under the scheme are eligible for receiving a grant from the fund to spend on their employee training program. The grants offered by the HRDF are quite capable of handling a major portion of the expenses incurred in organizing such training.

Consequences of failure in register HRDF

• Fine up to RM10,000
• Imprisonment for a term not exceeding 1 year/ or
• Both

Calculations of HRDF

HRD levy = HRD levy % x (Basic Salary + Fixed Allowances)