Employment Law 1955

Those who are interested to look at Malaysian labor laws can read more about it by looking at Malaysian Employment Act 1955.

For your information, the law is only applicable to Peninsular Malaysia and Labuan Federal Territory. Sabah and Sarawak are subjected to their own state laws.

Here are several noteworthy points in the law:

  • 12(1): Give early notice before termination
  • 12(2): a) Less than 2 years, 4 weeks notice b) More than 2, less than 5, 6 weeks notice c) More than 5 years, 8 weeks notice
  • 14(2): Suspension pending inquiry: wages no less than half
  • 22: Employers cannot give out advance wages unless it is for (including but not limited to) buying house, land, vehicle, livestock