PETALING JAYA: The government will lower the extension levy fees for foreign workers who have worked in the country for more than 10 years starting from March.

Finance Minister Lim Guan Eng said the Cabinet made this decision during a meeting on Feb 20 to lessen the burden of employers.

The lowering of levies will apply to five sectors from March 1, 2019 to Feb 29, 2020.

For the manufacturing, services and construction sectors, the levy will be lowered from RM10,000 to RM6,000, while for the agriculture and plantation sectors, the levy will be lowered from RM3,500 to RM2,000.

“The government is concerned about the challenges faced by businesses and industries in a global situation that is facing uncertainties,” said Lim in a statement on Saturday (Feb 23). 

There is no change in the levy fees for domestic workers.

In the 2019 Budget, the government allowed employers to extend the services of workers who have worked for more than 10 years for another three years, although employers have to pay the fees.