Kuala lumpur: Malaysia's skilled labour migration is witnessing a transformation from brain drain to brain circulation, driven by several initiatives aimed at linking the diaspora with the nation's economic opportunities and growth.
According to BERNAMA News Agency, Deputy Health Minister Datuk Lukanisman Awang Sauni highlighted the Malaysia at Heart (MyHeart) programme as a key contributor to this shift. This initiative allows Malaysian professionals abroad to contribute to the local ecosystem without needing to return permanently. Lukanisman explained, "This initiative connects the Malaysian diaspora with economic, social and cultural opportunities back home, creating sustained links and allowing the country to benefit from their expertise, networks and contributions," during a Special Chambers session in the Dewan Rakyat.
Representing the Minister in the Prime Minister's Department, Lukanisman addressed a motion by Suhaizan Kaiat (PH-Pulai) on the necessity of introducing a Critical Occupation Remuneration Act in Malaysia. He elaborated on how TalentCorp has implemented strategies to attract the diaspora, such as the Knowledge Worker Programme within the Johor-Singapore Special Economic Zone (JSS), which offers a flat 15 per cent tax rate for skilled Malaysians returning to work in the area for 10 years.
Additionally, Lukanisman mentioned TalentCorp's efforts in conducting the JSS Salary Benchmarking Study to evaluate salary structures and living costs between Malaysia and Singapore. This study serves as a basis for strategies to attract and retain professionals. The Returning Expert Programme (REP) was also highlighted as a crucial instrument in encouraging Malaysians to return and serve the country. Since its inception in 2011 until October 2025, TalentCorp has received 12,050 applications, with 7,627 approved and 4,963 individuals having returned to work in Malaysia.
Lukanisman noted that REP provides various incentives, including a flat 15 per cent tax rate for five years, tax exemption on personal effects, and excise duty exemption of up to RM100,000 for locally assembled (CKD) vehicles. "Through these integrated strategies, the government is confident that the talent migration phenomenon can be reduced, ensuring Malaysia remains competitive in attracting and retaining highly skilled human capital," Lukanisman stated.
Furthermore, Lukanisman remarked that any proposal to introduce a Critical Occupation Remuneration Act must be thoroughly reviewed in the context of the Public Service Remuneration System (SSPA) to maintain the balance of the current remuneration structure. He explained that the SSPA, effective from December 1, 2024, aims to enhance the attractiveness and fairness of the public service remuneration structure. The concept of critical occupations has been in place since 1992 via the Critical Service Incentive Payment (BIPK).
He also mentioned that following the SSPA implementation, no new expansions to BIPK would occur as current assessments indicate that issues of low supply and difficult job placements in these schemes have diminished. A national-level review of critical occupations has been conducted through the Malaysia Critical Occupational List (MICOL) under TalentCorp, which serves as the main reference for skilled workforce planning.
Lukanisman emphasized that introducing new remuneration levels carries major fiscal implications, including effects on pension rates and other emoluments. Such decisions must involve technical ministries like the Health Ministry, Higher Education Ministry, Human Resources Ministry, Works Ministry, and the Science, Technology and Innovation Ministry, with input from the Finance Ministry. "In line with public sector reform and expenditure control policies, the government does not encourage the establishment of new statutory bodies or entities unless strongly justified," he concluded.