Environmental, Social and Governance (ESG)
Sustainability training to help Malaysian employers navigate rising compliance standards
The International Labour Organization supported the launch of a new sustainability training package for Malaysian employers. Government reforms in 2025 have raised expectations on responsible business conduct. The programme will help employers respond to new guidance and future legislation.
17 November 2025
Kuala Lumpur (ILO News)- The ILO supported the Malaysian Employers Federation (MEF) with an orientation session on 14–15 November in Kuala Lumpur to introduce MEF’s new Environmental, Social, and Governance (ESG) training package to its national pool of trainers. Developed by the University of Malaysia (UNIMAS), the training will be formally launched in early 2026 and arrives at a critical moment, with employer demand for practical ESG and human-rights guidance rising sharply.
Malaysia’s policy environment shifted substantially in 2025: the Securities Exchange aligned sustainability reporting with ISSB standards; the Ministry of Investment, Trade and Industry (MITI) rolled out the i-ESG Framework as the country’s industry-level roadmap; and the National Action Plan on Business and Human Rights (NAPBHR) 2025–2030 was launched in August. Together, these reforms mark a transition from voluntary ESG practices to structured expectations on due diligence, transparency, and responsible business conduct—making MEF’s new training both timely and strategically important for Malaysian enterprises.
At the workshop, the Prime Minister’s Department (BHEUU) outlined NAPBHR priorities, including workers’ rights, ethical recruitment, migrant-worker protection, wage transparency, and excessive-overtime prevention. BHEUU have commissioned two feasibility studies, one on mandatory human-rights due diligence and one on the possible establishment of a human-rights tribunal.
With multiple ministries now shaping ESG and human-rights policy, Malaysian companies face an increasingly complex regulatory landscape—an area where MEF’s guidance, training, and policy advocacy will be essential to help employers navigate new expectations and prepare for forthcoming legislation.