Compliance reference last calibrated May 2026 Bahasa Malaysia coming soon · hello@jassyhrfirewall.com
FREE Compliance Reference Hub · For Malaysian Employers

The plain-English reference for Malaysian employment law, written for the people who run HR.

Twenty short chapters covering the Employment Act 1955 (as amended 2022), the IR Act 1967, MACC s.17A, the PDPA 2010 (as amended 2024) and OSHA 1994 — paired with working calculators for leave, overtime, termination benefits and statutory contributions. Built and maintained by Jassy HR Firewall.

Popular: termination benefits paternity leave MACC s.17A PDPA breach flexible working
20
Chapters
6
Statutes Covered
4
Live Calculators
2026
Current Edition
Section 01 · Most-Used Tools

Start where most employers start.

Four calculators that handle the questions HR receives most often. Each one is grounded in the relevant statute — the workings are shown so you can audit the answer.

Annual Leave Entitlement

Computes the statutory minimum days of paid annual leave based on length of service under EA 1955 s.60E.

Open calculator →

Overtime Pay

Applies the EA 1955 s.60A(3) multipliers for normal-day, rest-day and public-holiday overtime on covered employees.

Open calculator →

Termination Benefits

Calculates the statutory termination payment under the Employment (Termination and Lay-Off Benefits) Regulations 1980.

Open calculator →

Notice Period

Returns the statutory minimum notice under EA 1955 s.12 and flags where the contractual notice must override it.

Open calculator →
Section 02 · Reference Library

Twenty chapters, ordered the way HR meets the work.

Every chapter is anchored to the statute and the section number, written without legal jargon, and updated for the 2022 / 2024 amendment cycle. Search or filter to find what you need.

PART ONE Foundations of Malaysian employment law
CH 01

The Employment Act 1955 after the 2022 amendments

What changed when the Employment (Amendment) Act 2022 took effect on 1 January 2023, and why prior handbooks need a full rewrite, not a footnote.

EA 1955 · Amended 2022 · 6 min read
CH 02

Who the Employment Act now covers

The old RM 2,000 cap is gone. Coverage now reaches every private-sector employee, with narrower wage-based carve-outs at RM 4,000 for certain entitlement sections only.

EA 1955 · First Schedule · 5 min read
CH 03

Employment contracts and the terms employers forget

What must appear in a Malaysian contract of service, the clauses that get fought about in the Industrial Court, and the drafting habits that quietly create liability.

EA 1955 · s.10 · 9 min read
CH 04

Probation, confirmation and the fixed-term trap

How probationers are protected, what the courts treat as a genuine fixed-term contract, and the renewal pattern that turns a contractor into an employee by operation of law.

IR Act 1967 · 8 min read
PART TWO Workplace standards and entitlements
CH 05

Working hours, rest days and the 45-hour week

The reduced 45-hour cap, the daily ceiling, mandatory rest after five hours, and the 104-hour monthly overtime limit that quietly catches many manufacturers.

EA 1955 · s.60A · 7 min read
CH 06

The eleven public holidays every employer must recognise

The five compulsory days, how the remaining six are chosen, and what happens when a public holiday falls on a rest day or during sick leave.

EA 1955 · s.60D · 4 min read
CH 07

Annual leave, sick leave and hospitalisation

The 8/12/16 annual leave bands, the 14/18/22 sick leave bands, and how the 60-day hospitalisation entitlement interacts with the outpatient cap.

EA 1955 · s.60E, 60F · 6 min read
CH 08

Maternity (98 days) and paternity (7 days) leave

Eligibility for the extended 98-day maternity entitlement, the new paternity right under s.60FA, and the s.41A burden-shift when pregnant employees are dismissed.

EA 1955 · s.37, 60FA · 9 min read
CH 09

Flexible working arrangements under s.60P

The statutory right to apply (not to receive), the 60-day employer response window, and the written-reasons requirement on refusal.

EA 1955 · s.60P, 60Q · 5 min read
CH 10

Wages, overtime and permissible deductions

The seventh-day payment rule, the closed list of lawful deductions under s.24, and what fails the test even with written employee consent.

EA 1955 · s.19, s.24 · 7 min read
PART THREE Compliance and risk
CH 11

Statutory contributions: EPF, SOCSO, EIS and PCB

Who must contribute, the RM 6,000 SOCSO and EIS wage ceilings, the 15th-of-the-month deadline, and the year-end forms most payroll teams scramble for in March.

EPF Act · SSA · EIS Act · ITA · 11 min read
CH 12

Termination: misconduct, inquiry and lay-off benefits

The show-cause sequence, the domestic inquiry standards that hold up on judicial review, and the 10/15/20-day termination benefit formula.

EA 1955 · TLOB Regs 1980 · 12 min read
CH 13

The IR Act 1967 and the s.20 representation

The 60-day window that decides whether a dismissed employee can pursue you, the conciliation pathway through the IR Department, and the Industrial Court reinstatement remedy.

IR Act 1967 · s.20 · 10 min read
CH 14

MACC s.17A: adequate procedures and corporate liability

The strict-liability offence introduced in 2020, the only statutory defence (adequate procedures, T.R.U.S.T. framework), and the personal liability that extends to directors and senior officers.

MACC Act 2009 · s.17A · 9 min read
CH 15

The PDPA 2010 after the 2024 amendments

Mandatory breach notification, the new DPO appointment rule for prescribed data users, direct obligations on processors, and the reformed cross-border transfer regime.

PDPA · Amended 2024 · 8 min read
CH 16

OSHA 1994 after the 2022 amendments

The scope expansion to all workplaces, the OSH Coordinator requirement at the five-employee threshold, and the increased penalty regime that puts officers personally on the line.

OSHA 1994 · Amended 2022 · 7 min read
PART FOUR Special topics employers ask about
CH 17

Sexual harassment: the mandatory inquiry duty

The non-discretionary duty to inquire, the 30-day outcome notification, the workplace notice requirement, and the parallel tribunal under the Anti-Sexual Harassment Act 2022.

EA 1955 · s.81A–81G · 8 min read
CH 18

Anti-discrimination under s.69F

What the new Director General power covers, why the absence of a closed list of grounds widens employer exposure, and how to document selection decisions defensibly.

EA 1955 · s.69F · 6 min read
CH 19

Foreign workers and work-pass compliance

How EA coverage extends to migrant workers, mandatory SOCSO under the Employment Injury Scheme since 2019, and the s.90B forced-labour offence introduced in 2022.

EA 1955 · s.60K, s.90B · 7 min read
CH 20

HRD Corp levy and claimable training

Which employers are registrable under the PSMB Act 2001, what the levy funds, and why most employers under-claim what they have already paid in.

PSMB Act 2001 · 6 min read

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Section 03 · Working Calculators

Four calculators, statute by statute.

Inputs on the left, result on the right, statutory working shown underneath. These are reference tools, not legal advice — they reflect the EA 1955 minimums and are accurate for employees within scope of the relevant provisions.

Annual leave entitlement

EA 1955 s.60E · Statutory minimum
Use decimals for part-years (e.g. 1.5 for 18 months).
Pro-rata is computed as (days served ÷ 365) × annual entitlement.
Statutory entitlement
12 days
Service band: 2 to under 5 years (12 days per year)
Base annual entitlement12 days
Pro-rata factor1.00
Final entitlement12 days
EA 1955 sets the statutory floor. Most employer policies grant leave above this minimum, particularly for managerial grades. Untaken leave compensation on cessation is governed by s.60E(3).

Overtime pay

EA 1955 s.60A(3) · Covered employees only
EA overtime provisions apply to employees earning RM 4,000 or below.
Overtime payable
RM 302.88
Normal day rate: 1.5× hourly rate of pay
Ordinary rate of pay (per day)RM 134.62
Hourly rate of payRM 16.83
Multiplier applied×1.5
Hours × multiplier × hourly rate10 × 1.5 × 16.83
ORP = monthly wages ÷ 26. HRP = ORP ÷ 8. Rest day and public holiday rates assume work outside normal hours. Where the employee works during normal hours on a rest day or public holiday, a separate daily-rate gross-up applies in addition.

Termination & lay-off benefit

Employment (Termination and Lay-Off Benefits) Regulations 1980
Fractional years count proportionally.
Statutory benefit is payable for non-misconduct termination only.
Statutory termination benefit
RM 16,153.85
Service band: 5 years and above (20 days per year of service)
Days per year of service20 days
Years of service6
Daily rate (monthly ÷ 26)RM 134.62
Total benefitRM 16,153.85
Benefit is statutory minimum under the 1980 Regulations for EA-covered employees. Where the contract provides a higher figure, the contractual amount prevails. Termination for proven misconduct after a properly conducted domestic inquiry does not attract this benefit.

Notice of termination

EA 1955 s.12 · Statutory minimum
Leave at 0 if there is no written contractual notice clause.
Optional. Used to compute pay-in-lieu of notice.
Notice required
6 weeks
Statutory minimum: 6 weeks · Contractual: 4 weeks · The greater applies
Statutory minimum (s.12)6 weeks
Contractual notice4 weeks
Applicable notice6 weeks
Pay-in-lieu (full notice)RM 4,846.15
EA 1955 s.12 sets a floor of 4 / 6 / 8 weeks for service of less than 2 / 2 to under 5 / 5 years or more respectively. Where the contract gives a longer notice period, the contractual figure governs. Pay-in-lieu is computed at the daily wage rate.
Section 04 · Statutory At a Glance

The numbers HR needs on Monday morning.

A current-state snapshot of the entitlements, ceilings and deadlines that come up in audits, payroll runs and contract reviews. Verify specific contribution rates on the regulator’s portal before client deliverables.

EA 1955 · Time entitlements

Leave and working hours

Maximum working hours45 / week
Maximum hours per day8
Overtime cap per month104 hours
Annual leave (<2 / 2–5 / 5+)8 / 12 / 16 days
Sick leave (<2 / 2–5 / 5+)14 / 18 / 22 days
Hospitalisation leaveup to 60 days
Maternity leave98 days
Paternity leave7 days
Compulsory public holidays5 (of 11)

Source: EA 1955 ss.37, 60A, 60D, 60E, 60F, 60FA.

Statutory contributions

Monthly remittance summary

EPF · monthly deadline15th
SOCSO · wage ceilingRM 6,000
EIS · wage ceilingRM 6,000
EIS · age range18 – 60
PCB / MTD · deadline15th
EA Form (CP 8A) to employeeEnd of February
Form E (CP 8D) to LHDN31 March
Foreign worker · SOCSO EISMandatory (EIS only)
Records retention6 years post-cessation

Source: EPF Act 1991, SSA 1969, EIS Act 2017, ITA 1967. Verify exact rates at kwsp.gov.my, perkeso.gov.my and hasil.gov.my.

Risk thresholds

Trigger points and penalties

EA scope · all employeesFrom 1 Jan 2023
EA carve-out · wage thresholdRM 4,000 / month
OSH Coordinator required at5+ employees
IR Act · s.20 representation window60 days
FWA application response60 days
Sexual harassment outcome notice30 days
MACC s.17A · max fine10× value or RM 1m
Forced labour offence (s.90B)Up to RM 100k / 2 yrs
PDPA · breach notificationMandatory

Source: EA 1955 (am. 2022), IR Act 1967, OSHA 1994 (am. 2022), MACC Act 2009 s.17A, PDPA (am. 2024).

Prevention & Strategy Partner

When the reference isn’t enough,
bring in the firewall.

This library answers the routine questions. When the question is specific — a real dismissal, a live MACC exposure, a PDPA breach you need to report tomorrow — Jassy HR Firewall steps in with an HR infrastructure audit, board-grade documentation and the procedural defence employers actually need.

Section 05 · Frequently Asked

The questions employers ask most.

Short, statute-anchored answers. For the full treatment, follow the chapter link in each response.

Yes. The reference is published openly and is intended for use by Malaysian employers, HR teams, in-house counsel and finance teams. Internal citation is welcome. If a chapter is reproduced or summarised for redistribution, attribution to Jassy HR Firewall · Compliance Reference is appreciated.

After 1 January 2023, most EA 1955 provisions apply to every private-sector employee regardless of wage. A small set of provisions — covering overtime payment, rest-day pay and certain public-holiday computations — applies only to employees earning RM 4,000 / month or less.

The practical reading: senior staff are EA-covered for leave entitlement, working-hour caps, notice, termination benefits and the anti-discrimination provisions, even if you contract differently on the overtime payment side.

The Employment Act sets the statutory entitlements on termination — notice, lay-off benefit, accrued leave compensation. A dispute about whether those were correctly paid is filed with the Department of Labour.

The IR Act s.20 representation is the unfair dismissal route. An employee who claims they were dismissed without just cause or excuse has 60 days from dismissal to lodge a representation with the Department of Industrial Relations, which may escalate to the Industrial Court. The Industrial Court can order reinstatement, back-wages and compensation in lieu.

The PDPA (Amendment) Act 2024 introduced a mandatory DPO appointment for prescribed classes of data users — the Commissioner determines the classes through subsidiary regulations. Even where appointment is not yet mandatory for a given organisation, the amendment also creates direct obligations on data processors and mandatory breach notification, which generally make a named accountable officer the practical minimum.

Yes. Section 17A of the MACC Act 2009 binds every commercial organisation incorporated or registered in Malaysia, with no minimum-size carve-out. The strict-liability offence triggers when a person associated with the organisation (employee, agent, subsidiary, intermediary) gives or offers a corrupt gratification for the organisation’s benefit.

The only statutory defence is to prove that the organisation had adequate procedures in place, designed and implemented under the T.R.U.S.T. framework guidance issued by the MACC. Personal liability extends to the director, controller, partner or senior officer at the time of the offence.

EA 1955 s.60P requires a written response within 60 days of the application. If the employer refuses, written reasons must be provided. The right under the Act is a right to apply, not a guaranteed grant — but a refusal without documented commercial or operational grounds is a recurring weakness in IR Court disputes that later involve allegations of discrimination or unfair treatment.

No. They are reference tools that apply the statutory minimums under the cited provisions. A real-world calculation often requires layering of contractual entitlements, collective agreements, prorating for partial months, ORP definitions specific to the employee’s pay structure, and (where dismissal is contested) a separate assessment of the dismissal’s lawfulness. For client-facing or court-facing computations, engage Jassy HR Firewall directly.

The reference is recalibrated whenever a statutory amendment, regulation, or major Federal Court / Industrial Court Award materially changes the position. Each chapter shows its last review date in the full view. The current edition is dated May 2026 and reflects the 2022 EA, 2024 PDPA and 2022 OSHA amendment cycles in force.