Hiring Interns? Malaysian SMEs Can Still Claim Up to RM850

Malaysian SMEs and eligible start-ups hiring interns in 2026 can receive financial support through TalentCorp’s Internship Placement Matching Grant for SMEs and Start-Ups (LiKES). The programme offers a RM2,000 advance grant, monthly reimbursement of up to RM850, or both, depending on the internship arrangement.

For smaller businesses, that support can make internships more affordable while still giving students valuable work experience. TalentCorp has allocated RM10 million to LiKES for 2026.

Here’s what you need to know.

What Is the LiKES Programme?

LiKES is a government incentive administered by TalentCorp under the Ministry of Human Resources.

Its purpose is to encourage SMEs and start-ups to offer structured, paid internships.

There are two main types of support:

The mechanism depends on factors such as the internship start date and duration.

How Much Can an SME Claim?

The maximum reimbursement is RM850 per month, but employers do not automatically receive that amount.

TalentCorp reimburses 50% of the intern’s allowance.

So an employer would apporximiately need to pay at least RM1,700 per month to receive the full RM850 reimbursement.

TalentCorp confirms the monthly claim remains capped at RM850 even if the allowance is higher, but kudos if you do pay your intern higher!

What Is the RM2,000 Advance Grant?

Eligible employers may also receive RM2,000 upfront for qualifying internships.

The advance grant generally applies to internships that:

• Start from March 2026 onwards
• Last at least four months
• Meet the programme’s other eligibility requirements

For longer internships, employers may qualify for both the advance grant and matching reimbursement. 

What Is the Minimum Intern Allowance?

TalentCorp sets minimum monthly allowances based on the intern’s qualification level.

Which Businesses Can Apply?

LiKES is open to eligible Malaysian SMEs and qualifying start-ups.

For SMEs, TalentCorp uses Malaysia’s SME definitions. For example, businesses in the services and other sectors can generally qualify as SMEs if their annual sales turnover does not exceed RM20 million or they have no more than 75 full-time employees.

Under TalentCorp’s 2026 terms, eligible SMEs must also be certified as SMEs by SME Corporation Malaysia and must have been in active operation continuously for at least two years at the time of application.

What Counts as a Start-Up?

TalentCorp applies specific criteria. A qualifying start-up generally must:

• Be incorporated in Malaysia for more than two years but not more than five years
• Have revenue and/or investment of less than RM20 million
• Be innovation-driven, disruptive and technology-enabled

This means a newly incorporated company would not immediately qualify under the programme’s start-up criteria.

What Counts as a Start-Up?

TalentCorp applies specific criteria. A qualifying start-up generally must:

• Be incorporated in Malaysia
• Have operated for more than two years but not more than five years
• Have revenue and/or investment below RM20 million
• Be innovation-driven or technology-enabled

A newly incorporated company therefore does not automatically qualify, so don’t try to game the system by opening a company today, it won’t work.

Which Interns Are Eligible?

The student must:

• Be a Malaysian citizen
• Be enrolled full-time at a tertiary institution
• Complete the internship in Malaysia
• Register through MyNext Talent
• Complete the internship before finishing their studies

LiKES internships can generally last between 2.5 and 12 months. 

How Many Interns Can a Company Claim For?

An employer can receive LiKES support for up to 10 interns.

However, the RM2,000 advance grant is limited to a maximum of five interns.

Additional eligible interns may still qualify for the matching reimbursement, subject to programme rules and available funding.

How Do Businesses Apply?

The process is quite straightforward:

1. Register the company through TalentCorp’s LiKES/MyNext platform.
2. Submit the required business documents.
3. Add the intern and internship details.
4. Wait for TalentCorp approval.
5. Submit supporting documents and claims where applicable.

Interns must also register as MyNext Talent as part of the programme requirements.

TalentCorp may request documents such as company registration records, confirmation from the educational institution, the intern’s student card, internship offer letter, internship module and job description, banking details and other supporting information.

Reimbursement claims need to be submitted within three months after the internship ends.

Applications are handled on a first-come, first-served basis and remain subject to available funding.

Note: LiKES 2026 closes on 31 December 2026 or until the allocated funding is exhausted, whichever comes first.

Is LiKES Worth Applying For?

An employer paying RM1,200 per month could potentially claim RM600 monthly under the matching grant, subject to approval. Likewise, if your company hires 5 interns of the same salary, businesses save RM 3,000.

LiKES can be useful for businesses hiring interns in areas such as:

• Marketing
• Accounting
• Administration
• Software development
• Design
• Operations
• Engineering
• Customer support

We don’t recommend businesses to hire more interns just because of the grant, rather get the grant for the interns you were already hiring.

Government Grants Provides Relief for SME

LiKES gives Malaysian SMEs and start-ups a way to reduce internship costs in 2026.

Eligible employers may receive a RM2,000 advance grant, 50% monthly reimbursement capped at RM850, or a combination of both, depending on the internship arrangement.

Since funding is only available until 31 December 2026 or until the allocation runs out, businesses planning to hire interns should check their eligibility early.

At TopBusiness, we cover Malaysian business news, government initiatives and funding opportunities that affect how companies hire, invest and grow. 

Follow our business and industry news coverage for more useful updates.