PETALING JAYA, 19 June 2025 – MBSB Bank has partnered with Bayo Pay to digitize payroll disbursement for Malaysia’s construction sector, offering contractors a safer and more efficient alternative to cash-based wage payments. The solution, built on Bayo’s regulated e-money platform and fully integrated with MBSB Bank’s payment infrastructure, allows wages to be credited directly into workers’ e-wallets, thus eliminating the operational and security risks of carrying physical cash to worksites.
The move addresses a persistent challenge in the industry. Robberies targeting contractors transporting large sums of cash have increased in recent years, with incidents resulting in serious injuries, unpaid workers, and stalled projects. By offering a digital-first payroll system, MBSB Bank aims to protect contractors and workers alike while aligning with national goals to accelerate cashless adoption.
The service is initially targeted at G1 to G7 CIDB-registered contractors and is expected to benefit both employers and workers across a wider range of industries in future phases. For contractors, it offers traceable wage disbursement, streamlined compliance with labour and audit requirements, and reduced risk of fraud. For workers, particularly those unbanked or underbanked – it enables faster, more secure access to wages via mobile wallets.
“This partnership reflects our focus on solving real problems with practical solutions,” said Rafe Haneef, Group Chief Executive Officer of MBSB Group. “We’re enabling businesses to move away from high-risk, cash-based practices and giving workers a safer way to get paid. It’s a meaningful step forward in how payroll should be done.”
For MBSB Bank, the integration also opens new avenues to serve clients through bundled payroll current accounts, cash management tools, and broader financial services over time.
Encik Fardan Abdul Majeed Aznul Shazri Abdullah, Managing Director of Bayo Pay, added: “We are proud to work with CIDB and MBSB Bank to modernize and digitalize wage payments in construction industry. This is about more than removing cash, it’s about enabling trust, inclusion, and better outcomes for the entire value chain.” This initiative is hoped to elevate Malaysia’s construction sector in line with the expectations of the International Labour Organization in ensuring welfare and inclusion of workers as well as to enhance service delivery for the entire value chain”
