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Insight

Check Out Memo 2025: What Manufacturing Employers Need to Know

October 23, 20253 min read

Effective September 2025, Malaysia’s Immigration Department (JIM) has expanded the use of the Check Out Memo (COM) for foreign worker quota applications.

This update allows manufacturing employers to apply for quota replacement using COMs for workers who returned from 2024 onwards — a change that streamlines documentation and shortens processing time for experienced workers returning to Malaysia.

Background: Expansion of case-by-case quota approvals

Following the Joint Committee Meeting between the Ministry of Home Affairs and the Ministry of Human Resources on 19 August 2025, JIM issued a circular on 30 September 2025 expanding case-by-case quota approvals across several sectors.

Sector Sub-sectors / Conditions Applicable COM Period
Services

• Restaurants (new & replacement quotas)
• Cargo handling (replacement only)

2021 – Present (Cargo)
2024 – Present (Restaurant)
Manufacturing

• New investments under MIDA (new quotas)
• Existing factories employing foreign workers (replacement)

 2024 – Present
Agriculture

• Vegetables, fruits, industrial crops
• Livestock
• Aquaculture

 —
Plantation • All crop types —
Construction • Government or GLC projects only —
Mining & Quarrying • Strategic minerals and commodities —

Note: COM date ranges are currently specified only for the Services and Manufacturing sectors. Other sectors fall under general case-by-case approvals.

What this means for manufacturing employers

This change simplifies quota replacement applications for manufacturers whose foreign workers exited Malaysia in 2024 or later.

Factories can now:

  • Apply for replacement quotas using workers’ existing COM records.
  • Reduce redundant documentation for previously cleared workers.
  • Rehire experienced workers familiar with Malaysian workplace standards.

The result — faster workforce replenishment and improved operational continuity for manufacturing facilities facing manpower constraints.

Documentation required

To qualify under this update, employers must:

  1. Submit a valid Check Out Memo (COM) for each returning worker.
  2. Obtain a Confirmation Letter from JIM verifying the worker’s exit.
  3. Attach both documents to the quota replacement application submitted through the Foreign Worker Management One Stop Centre (OSC), KDN.

Employers should note that this applies only to quota replacement, not to brand-new quota requests.

Why this matters

The circular strengthens Malaysia’s effort to balance business continuity with responsible migration governance.

For employers, it means:

  • Shorter lead time for rehiring returning workers.
  • Clearer verification via JIM’s exit confirmation process.
  • Reduced administrative bottlenecks in workforce planning.

How Osadi helps

Osadi assists clients in managing every stage of the process — from verifying COM eligibility and preparing supporting documents, to coordinating submissions with JIM and OSC. Our goal is to ensure every application is compliant, traceable, and aligned with the latest regulatory requirements.

Employers uncertain about eligibility or documentation can contact Osadi for a preliminary review before submission.

Prepared by Ken Wooi
Business Development Team
bdteam@osadi.com.my