EPF bans over 14,000 directors for unpaid contributions
11 October 2026 · Effective 1 July 2026
EPF has barred over 14,000 company directors from leaving Malaysia due to unpaid employer EPF contributions, with more than 2,200 directors added to the travel ban list in 2025 alone. The enforcement action targets employers who have failed to remit statutory contributions on behalf of their workers. EPF holds directors personally liable for contribution arrears. Separately, EPF will close all physical remittance payment counters nationwide from 1 July 2026, meaning employers must switch to online or electronic payment channels before that date. The government is also reviewing the mandatory 2 percent EPF contribution requirement for foreign workers, though no change has been gazetted yet.
What this means for you
All employers, especially directors of SMEs, must ensure EPF contributions are remitted on time to avoid travel bans. Check payroll submission records in StaffE under Payroll > EPF Contributions. Plan to stop counter payments before 1 July 2026 and confirm electronic payment setup in Settings > Payment Methods.
Summarised from public announcements and reviewed before publishing. Always confirm with the official KWSP, PERKESO, LHDN or JTK notice before changing payroll.