Who in Your Company Qualifies for an HRDF Claimable Trip?
Introduction
Before planning any company getaway, HR teams need to answer a basic question: which people and which employer qualify at all? At Holiday Gogogo, we find that eligibility is easier to settle early than to untangle after booking. An HRDF claimable trip depends on three things: your company’s HRD Corp status, the employees attending and the structure of the training itself. This article walks through each one.
TL;DR: Key Takeaways
A company qualifies for an HRDF claimable trip only if it is registered with HRD Corp and contributing levy. The attendees are usually Malaysian employees on the registered payroll, and the trip itself must be structured training rather than a holiday. Being eligible as a company never makes a trip claimable on its own.
- The employer must be registered with HRD Corp and paying levy.
- HRD Corp’s FAQ defines employees as Malaysian citizens.
- Each attendee should have a clear reason to join the training.
- The trip must still meet training, provider and claim route conditions.
Which Companies Qualify for an HRDF Claimable Trip?
Only employers registered with HRD Corp and actively contributing levy can claim training grants. Registration is compulsory for covered employers with 10 or more Malaysian employees, and optional for those with five to nine. Government bodies are not covered. Registration alone does not make any trip claimable.
HRD Corp’s FAQ explains that the mandatory levy is 1% for companies with 10 or more employees, while voluntary registrants pay 0.5%, both calculated on wages and fixed allowances. Paying the levy is what gives a company access to the grant system. Check your registration and levy status first, because everything else depends on it.
Which Employees Can Join an HRDF Claimable Trip?
HRD Corp’s FAQ defines employees as citizens of Malaysia, and registered employers may send their local employees for training under its grant schemes. In practice, that means Malaysian staff on your registered payroll are the starting point. Other groups, such as foreign workers, directors or contract staff, should be confirmed with HRD Corp before you include them.
The table below summarises what HRD Corp’s published material says for each group.
Group | What HRD Corp’s material says | What to do |
Employers with 10 or more Malaysian employees | Registration is compulsory, with a 1% levy | Confirm you are registered and paying |
Employers with 5 to 9 Malaysian employees | Registration is voluntary, with a 0.5% levy | Decide whether to register before planning |
Malaysian employees | Counted as employees and eligible for training | Use the registered payroll list |
Foreign workers | Not counted as employees in the FAQ definition | Confirm before including anyone |
Government bodies | Not covered by the Act | Not applicable |
Rules and thresholds can change, so treat this table as a starting point and check HRD Corp’s current guidance before you commit to a headcount.
Does a Qualifying Employee Mean the Trip Qualifies?
No. Eligible employees are only one condition. The trip itself must work as structured training, with documented learning objectives, delivery by a registered training provider and the correct grant route. Leisure time, sightseeing and free days are not training. Each attendee should also have a genuine reason to be in the session.
HRD Corp’s FAQ states that reimbursement is limited to the approved amount or the actual expenses incurred, whichever is lower. That is why separating training costs from leisure costs matters so much. For a closer look at the paperwork, read our guide to the records that support a claim.
How Should You Decide Who Attends?
Start from the training objectives and work outwards. Choose attendees for whom the learning is relevant, rather than filling seats for the sake of a full group. A clear list also makes the attendance records easier to sign off. Keep the list short enough that every name can be explained in one sentence.
Work through these steps in order:
- Confirm your company is registered with HRD Corp and contributing levy.
- List the Malaysian employees on your registered payroll.
- Match each name to the training objectives for the programme.
- Ask HRD Corp in writing about any uncertain group, such as directors or contract staff.
- Decide how any non-eligible travellers will be funded outside the claim.
Frequently Asked Questions
Can a company with fewer than 10 employees claim an HRDF claimable trip?
Possibly, if it registers. HRD Corp’s FAQ says employers with five to nine Malaysian employees in covered sectors may register voluntarily, paying a lower levy. For smaller companies, the published material does not settle the question, so ask HRD Corp directly before planning.
Can foreign employees join an HRDF claimable trip?
The FAQ defines employees as Malaysian citizens, so foreign workers are not counted in that definition. Rules can change, so confirm the current position with HRD Corp in writing before including them. Plan on funding their travel separately if the answer is no.
Are all employees automatically covered once the company is registered?
No. Registration gives the company access to the grant system, but each programme still has to meet HRD Corp’s conditions on structure, provider and costs. Attendees should also be relevant to the training objectives, and everything should be documented before departure.
Do directors and contract staff qualify?
HRD Corp’s public FAQ does not address this clearly, so do not assume either way. Ask HRD Corp in writing which categories of staff count for your chosen grant scheme, and keep the reply with your claim records for later review.
What happens to staff who are not eligible?
They can still travel if the company wishes, but their costs must sit outside the claim. Ask your travel supplier to bill their share separately from the training costs so each invoice shows clearly what belongs where. This also keeps the paperwork simple if a reviewer asks questions later.
Conclusion
Qualifying for an HRDF claimable trip starts with the company: register with HRD Corp, pay the levy and then confirm which employees can attend. After that, the trip still needs structured training and clean records. At Holiday Gogogo, we help corporate groups plan trips around a documented training day. Request a group quote to start planning.