Professional Documents
Culture Documents
CHAPTER OUTLINE
INTRODUCTION
Employment Act, Sabah Labour Ordinance, and
Sarawak Labour Ordinance
Laws which provide for protection of employees in
Malaysia
Specify terms and conditions of service and
provide details of minimum fringe benefit
entitlements
Employment Act covers employees in Peninsula
Malaysia
Sabah and Sarawak Labour Ordinances cover
employees in Sabah and Sarawak respectively.
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CONTRACT OF SERVICE
CONTRACT OF SERVICE
TERMINATION OF CONTRACT
Notice period for termination of contract shall be
same for both employer and employee and shall
be in writing
If no provisions in writing then notice period shall
follow that specified in law
Period can be less if written in contract of service
YEARS OF SERVICE
NOTICE
less then two years' service
4 weeks
two to five years' service
6 weeks
more than five years' service
8 weeks
If notice of termination due to reasons related to
redundancy, then notice of termination shall not be
less than what is in the law
TERMINATION DUE TO
MISCONDUCT
PROBATION
PROBATION
WAGES
PAYMENT OF WAGES
PAYMENT OF WAGES
EMPLOYMENT OF WOMEN
MATERNITY PROTECTION
MATERNITY PROTECTION
MATERNITY PROTECTION
CONDITIONS OF SERVICE
Rest Days
Rest day of one whole day in each week
Will not apply if employee on maternity leave, sick
leave, or temporary disablement leave under
SOCSO or Workmens Compensation Act
If company works five-day week, then second off
day is official rest day.
For shift work, rest day is any continuous period of
not less than 30 hours free from work.
No employee shall be compelled to work on a rest
day unless engaged in work which needs to be
carried on continuously or by succession of shifts
Exceptions are when there is an emergency
CONDITIONS OF SERVICE
Hours of Work
No employee shall be required to work:
(a) more than five consecutive hours without a period
of leisure of not less than thirty minutes duration;
(b) more than eight hours in one day;
(c) in excess of a spread over period of ten hours in
one day;
(d) more than forty-eight hours in one week.
CONDITIONS OF SERVICE
Overtime
Overtime is number of hours of work carried out in
excess of normal hours of work
Work on rest days and public holidays not
construed as overtime.
Maximum hours of overtime allowed determined by
Minister of Human Resources and current
maximum is 104 hours per month
No employer shall require any employee to work
for more than 12 hours in any one day
Only exception is during emergencies like accident
or urgent work to machinery
CONDITIONS OF SERVICE
Overtime
For public holidays, an employee may be required
to work on public holidays and be paid at
prescribed rates
CONDITIONS OF SERVICE
Holidays
Employment Act = minimum of 10 paid public
holidays in one calendar year
Sabah Labour Ordinance = minimum of 14 days
Sarawak Labour Ordinance = minimum of 16 days
Four of the public holidays are specified as follows:
1. National Day
2. Birthday of Yang di Pertuan Agong
3. Birthday of State Ruler (or Federal Territory Day)
4. Workers Celebration Day.
CONDITIONS OF SERVICE
Holidays
Also paid public holiday on any day declared public
holiday under Section 8 of Public Holidays Act 1951
If paid public holiday falls on rest day, then following
day shall be substituted paid public holiday.
By agreement between employer and employee,
any other day or days may be substituted for one of
the remaining paid public holidays.
If sick leave on paid public holiday, employer shall
grant another day as paid holiday in substitution.
Any unexcused absence immediately before or after
a public holiday will result in loss of holiday pay for
employee
CONDITIONS OF SERVICE
Annual Leave
Employee shall be entitled to paid annual leave as
follows:
YEARS OF SERVICE
LEAVE
ENTITLEMENT
less then two years' service
8 days
two to five years' service
12 days
more than five years' service
16 days
If employee on annual leave given medical leave
or maternity leave, then annual leave deemed to
have not been taken
CONDITIONS OF SERVICE
Sick Leave
Sick leave after employee has been examined at
expense of employer by registered medical
practitioner appointed by employer
Exception is if company does not appoint doctor or
due to nature of illness, company doctors service
not available within reasonable time or distance,
then another doctor may be consulted
Employee also entitled to paid sick leave after
examination by a qualified dental surgeon
CONDITIONS OF SERVICE
Sick Leave
Sick leave entitlement where no hospitalisation is
necessary is as follows:
YEARS OF SERVICE
LEAVE
ENTITLEMENT
less then two years' service
14 days
two to five years' service
18 days
more than five years' service
22 days
If employee is hospitalised, then maximum number
of days is 60 days less number of sick leave days
taken
If doctor certifies that employee is ill enough to
need to be hospitalised but is not hospitalised,
leave still considered hospitalisation leave.
CONDITIONS OF SERVICE
Sick Leave
Employee who absents himself on sick leave is not
certified deemed to be absent without permission
and without reasonable excuse.