Certificate of Employment in Malaysia: HR’s Complete Reference Guide

Issuing a Certificate of Employment is one of the simplest yet most valuable HR practices. It helps employees prove their work history, while also protecting employers from disputes about roles or service periods. In Malaysia, this document is often required by banks, recruiters, and even immigration officers, making it an essential part of modern HR.

What is a Certificate of Employment?

A Certificate of Employment (COE) is an official letter issued by an employer to confirm that someone is or was employed by the company. It normally includes details like the employee’s full name, job title, and the start and end date of employment.

It is important to note the difference between a COE, an employment verification letter, and a reference letter. A Certificate of Employment (COE) is a simple confirmation of employment history. An employment verification letter is usually sent to a third party, like a bank or recruiter to confirm details. A reference letter goes beyond facts and includes comments on performance and character.

COEs are usually short and formal, used mainly for verification.

When Should Employers Issue a Certificate of Employment?

Employers may issue a COE in these situations:

When an employee resigns or their contract ends.
When an employee requests one, even while still employed, for a specific purpose (e.g., bank loan, visa application).

It is considered good HR practice to issue a COE promptly, especially when employees need it for urgent matters.

Why is a Certificate of Employment Important?

A Certificate of Employment may look like a simple letter, but it carries real weight for different groups of people.

For Employees: A COE acts as undeniable proof of their work history. When applying for a new job, a loan, or even a visa, it helps build credibility because it comes directly from their employer. Without it, employees may struggle to prove their past experience or current employment.
For Employers: Issuing COEs ensures that HR records are consistent and transparent. It reduces the risk of disputes about employment dates, roles, or salaries. More importantly, it shows that the company values professionalism, even when an employee has already moved on.
For Third Parties (Banks, Recruiters, Immigration): These organisations rely on COEs as a reliable source of information. Banks use it to check income when processing loans. Recruiters use it to confirm a candidate’s background. Immigration departments use it to verify employment before granting visas.

How to Write a Certificate of Employment in Malaysia

A COE should be short, clear, and on official company letterhead. It should include:

Employee’s full name
Job title or position
Duration of employment (start and end date)
Employer’s company name and details
Signature of authorised person and company stamp

Optional details (only if requested):

Current or last drawn salary
Brief job description

Formatting tips:

Use company letterhead.
Keep it factual and professional.
Date the letter and sign with an authorised stamp.

5 Certificate of Employment Templates & Samples

Template 1: Simple Format

[Company Letterhead]

CERTIFICATE OF EMPLOYMENT

This is to certify that [Employee’s Full Name], holder of NRIC [Number], was employed with [Company Name] as [Job Title] from [Start Date] to [End Date].

This certificate is issued upon request of the employee for whatever purpose it may serve.

Signed,

_________________________

[Authorised Person’s Name]

[Designation]

[Company Stamp]

Date: [Insert Date]

Template 2: Current Employee

[Company Letterhead]

CERTIFICATE OF EMPLOYMENT

This is to confirm that [Employee’s Full Name], holder of NRIC [Number], is currently employed at [Company Name] as [Job Title] since [Start Date].

If you require further details, please contact us at [Contact Number / Email].

Signed,

_________________________

[Authorised Person’s Name]

[Designation]

[Company Stamp]

Date: [Insert Date]

Template 3: Former Employee with Salary Information

[Company Letterhead]

CERTIFICATE OF EMPLOYMENT

This is to certify that [Employee’s Full Name], holder of NRIC [Number], was employed by [Company Name] from [Start Date] until [End Date].

The employee’s last position held was [Job Title], with a final monthly salary of RM[Amount].

We confirm that the above information is correct based on our company records.

Signed,

_________________________

[Authorised Person’s Name]

[Designation]

[Company Stamp]

Date: [Insert Date]

Template 4: Former Employee with Salary Information

[Company Letterhead]

CERTIFICATE OF EMPLOYMENT

This is to certify that [Employee’s Full Name], holder of NRIC [Number], has been employed with [Company Name] since [Start Date].

The employee is currently serving as [Job Title] and is earning a monthly salary of RM[Amount].

This certificate is issued upon the employee’s request for submission to [Bank/Financial Institution] in support of a loan application.

Signed,

_________________________

[Authorised Person’s Name]

[Designation]

[Company Stamp]

Date: [Insert Date]

Template 5: Former Employee with Salary Information

[Company Letterhead]

CERTIFICATE OF EMPLOYMENT

This is to certify that [Employee’s Full Name], holder of NRIC [Number], has been employed with [Company Name] as [Job Title] since [Start Date].

This certificate is issued for submission to [Embassy / Immigration Department] in support of a visa/immigration application.

Signed,

_________________________

[Authorised Person’s Name]

[Designation]

[Company Stamp]

Date: [Insert Date]

How to Request a Certificate of Employment

Requesting a Certificate of Employment is usually a simple process, but it works best when both the employee and employer know what to expect.

For Employees:

Write a formal email or letter to HR or your manager.
State clearly the purpose (job application, loan, visa, etc.).
Provide any details required by the third party (salary, position, etc.).
Give reasonable time for processing.

For Employers:

Standardise the request process.
Keep a ready template for quick issuance.
Respond within a few days to support the employee.

Common Scenarios for COE

Certificates of Employment are needed more often than many realise. While job applications are the most common reason, there are many other situations where a COE becomes important.

Job Applications

When someone applies for a new role, employers often want to verify their previous experience. A COE confirms their work history without the need for lengthy background checks.

Loan or Mortgage Applications

Banks frequently ask for a COE to prove that the applicant has a stable job and income before approving credit facilities.

Visa or Immigration Requirements

Embassies and immigration authorities require COEs to verify that a person is employed in Malaysia, especially for long-term or overseas applications.

Rental or Housing Applications

Landlords sometimes request a COE to ensure that a potential tenant has a steady source of income.

Government or Internal Requirements

Certain government aid programs or internal HR verifications may also need proof of employment in the form of a COE.

FAQs

Is a Certificate of Employment compulsory in Malaysia?

It is not compulsory under Malaysian law, but most employers provide it as good HR practice.

How long does it take to issue a COE?

Usually, within a few working days, depending on the company’s policy.

Can a former employee request a COE years after leaving?

Yes, if the company still has employment records.

Can employers refuse to issue a Certificate of Employment?

Generally, employers should not refuse unless there is a valid reason, as it may cause disputes.

What is the difference between a COE and a Reference Letter?

A COE only states facts (employment details). A reference letter adds comments about performance and character.

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