Explore workers' rights and legal protections in Malaysia
In Malaysia, the Employment Act 1955 is the primary law governing employment. For an employer to dismiss an employee, there must be a "just cause or excuse". Lawful grounds for dismissal include misconduct, poor performance, redundancy, or other grounds such as the expiration of a fixed-term contract or retirement.
Misconduct can include dishonesty, insubordination, willful damage to company property, habitual absence, or serious breaches of work rules. Poor performance refers to persistent substandard work despite warnings and opportunities to improve. Redundancy means the role is no longer necessary to the business's operations due to factors like restructuring or economic downturn.
The Employment Act 1955 stipulates minimum notice periods for termination, depending on the employee's length of service. For less than two years of service, four weeks' notice is required. For two to five years of service, six weeks' notice is required. For five years or more of service, eight weeks' notice is required. Employers can provide longer notice periods or payment in lieu of notice if outlined in the employment contract.
Malaysian labor laws mandate severance pay under certain conditions. If an employee is dismissed due to redundancy or the company's closure, and they've worked for over a year, they are generally entitled to severance pay. The amount varies according to length of service. If an employee is dismissed for other reasons, severance pay may be payable depending on the circumstances and terms in the employment contract.
If an employer terminates for misconduct, it's considered best practice to conduct a fair domestic inquiry to establish the facts before dismissal. If an employee resigns due to the employer breaching their contract in a significant way, it may be considered constructive dismissal, and they may be entitled to claim remedies.
In Malaysia, there are several laws and constitutional provisions that address discrimination. Article 8 of the Federal Constitution provides for equality before the law and prohibits discrimination on the grounds of religion, race, descent, place of birth, or gender. Additionally, Section 60L of the Employment Act 1955 specifically prohibits workplace discrimination based on religion, race, sex, gender, marital status, pregnancy, or trade union membership.
The anti-discrimination laws in Malaysia generally protect against discrimination based on the following:
Individuals who experience discrimination in Malaysia can seek redress through various means:
Employers in Malaysia have a duty to uphold anti-discrimination principles:
In Malaysia, the Employment Act 1955 stipulates that the maximum working hours should not exceed 45 hours per week and 8 hours per day. However, overtime work is permissible, provided that employers compensate employees at a rate of at least 1.5 times their hourly wage. There are, however, limitations on the amount of overtime an employer can require. For shift work, the maximum working hours are 48 hours per week, averaged over a three-week period.
Employees are entitled to a minimum of one full rest day per week as per the Employment Act 1955. Typically, employees receive a meal break of at least 45 minutes after working for around five consecutive hours. Malaysia observes several public holidays each year, and employees are entitled to paid time off on these days, or overtime pay if required to work.
While Malaysia doesn't have specific legislation solely focused on ergonomics, the Occupational Safety and Health Act 1994 (OSHA) places a general duty on employers to provide a safe and healthy work environment. This includes identifying and addressing ergonomic risks such as repetitive strain, awkward postures, and heavy lifting. Employers are also required to provide adjustable furniture and equipment to promote good posture and minimize strain. Additionally, they must educate employees on proper ergonomics, safe lifting practices, and recognizing signs of musculoskeletal strain caused by ergonomic risk factors.
In Malaysia, the Occupational Safety and Health Act 1994 (OSHA 1994) is the primary legislation that governs the safety and health of the workplace. This legislation outlines the obligations of employers, the rights of employees, and the enforcement agencies involved.
Under OSHA 1994, employers have a significant responsibility to ensure workplace safety and health. Here's a breakdown of some key obligations:
Employees also have crucial rights under OSHA 1994:
The Department of Occupational Safety and Health (DOSH) is the primary enforcement agency for OSHA 1994. DOSH inspectors have the authority to:
We're here to help you on your global hiring journey.