Public Courses
Employment Act 1955: The Essentials
Employment Act 1955: The Essentials
The Employment Act 1955 is a layered and technical piece of legislation that is often misunderstood. It sets out the minimum rights, benefits, and obligations that apply to employees in Malaysia across all salary levels, with some exceptions. With the Act now extending to cover all employees, it is essential for organisations to be more attuned to their statutory obligations and to understand how to apply the law correctly.
Course objective
By the end of this course, participants will have a solid working knowledge of every major
provision and module of the Employment Act 1955, enabling them to:
- Work confidently within the boundaries of the law
- Correct non-compliant internal practices
- Handle HR issues with clarity and consistency
- Make informed decisions that protect the organisation from legal exposure
MODULES
1. Introduction to Labour Laws in Malaysia
- Purpose and application of the Employment Act 1955
- Key definitions under Section 2 – Interpretation section
- “employee”, “wages”, “contract of service” read with the First Schedule
- definition of “day” for shift and non- shift workers
- “part-time employees” including the Part-time Regulations
- “contractors & principals” – contract of service vs contract for service
- “Apprentice” etc
- How the Act interacts with the Industrial Relations Act 1967 and the Trade Unions Act 1959
2. Contract of Service
- When contracts must be in writing
- When a contractual clause is deemed void
- S.11 – Fixed term contracts
- s.12 – Notice and waiver provisions
- s.15(2) – Breach of contract and remedies vs Abscondment from service
- s.14 – Misconduct, Suspension and Punishment
3. Wages
- Payment timelines, advanced payments and loans
- Legal deductions from wages – when it’s ok and when it is not
- Liability of contractors and principals, and the legal presumption of who qualifies as an employer and an employee.
4. Protection of Women
- Comprehensive maternity protection
- Eligibility for maternity leave
- Right to terminate during pregnancy or maternity leave
- When the employer can compel the start date of Maternity leave
- Encashment of maternity allowances
5. Domestic Servants
- Scope and minimum protections
6. Statutory Benefits
Including the exact rules, exclusions, formulas and practical application for:
- Rest days
- Hours of work
- Shift
- Overtime
- Public holidays
- Annual leave
- Sick leave
- Ordinary Rate of Pay (ORP) computations v Unpaid leave computations
- Payments and record-keeping
7. Termination & Lay-Off Benefits Regulations 1980
- Entitlements to Benefits; Reg 4
- Quantum & Calculations; Reg 6
- Reg 3(2) – Renewal of Fixed Term Contracts – Is a break necessary?
8. Complaints, Inquiries, & Investigations
- How labour complaints are initiated and resolved at JTK
9. Sexual Harassment (Part XVA)
- Mandatory employer responsibilities and procedures
10. Enforcement, Inspection, Offences & Penalties
- Powers of JTK to carry out Inspections
- Penalties for non-compliance
11. Regulations & Director General’s Powers
- Permissions and exemptions the DG Labour may grant
Employment Act 1955: The Essentials
This comprehensive course is designed to demystify the EA by breaking down all 11 modules of the Act into practical, real-world applications. Participants will learn not just what the law says, but how to implement it, what to do if existing practices are non-compliant, and what to do when things escalate.
Simplify Your Industrial Relations and
Employment Law Operations
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