Public Courses

Foundations of Malaysian Employment Law & Industrial Relations

Foundations of Malaysian Employment Law & Industrial Relations

This public course will provide HR and IR practitioners with a comprehensive and practical foundation in Malaysian employment law and industrial relations principles – empowering them to apply legal knowledge confidently in their daily work and manage workplace issues within legal boundaries.

Course objective

By the end of this course, participants will be able to:

  • Understand the legal framework governing employment and IR in Malaysia.
  • Apply Employment Act 1955 and Industrial Relations Act 1967 provisions effectively.
  • Manage misconduct, poor performance, and workplace disputes legally.
  • Conduct Domestic Inquiries and ensure procedural fairness.
  • Reduce risks of unfair dismissal claims and IR disputes.
MODULES

1. Introduction to Labour Laws in Malaysia

  • Overview of key labour legislation
  • Purpose & objectives of Employment Act 1955 & Industrial
    Relations Act 1967
  • Scope and coverage: Why does RM4K wage threshold still matter
  • Other relevant laws

2. Section 20(1) of the Industrial Relations Act 1967

  • Right to file representation for unfair dismissal
  • Conditions and time limits
  • IR process: Conciliation & Industrial Court
  • Practical tips to avoid Section 20 disputes

3. Key Definitions under Section 2 of the Employment Act 1955

  • “Workman”, “Employer”, “Contract of Service”, “Wages”
  • Why definitions matter for benefits and compliance

4. Contract of Service vs Contract for Service

  • Legal differences and court tests
  • Impact on statutory benefits, termination, and obligations
  • Misclassification risks and prevention

5. Constructive Dismissal

  • What is constructive dismissal under Malaysian law?
  • Key case examples

6. Fixed-Term Contracts

  • Legal validity and renewal risks
  • Best practices
  • Case studies

7. Due Inquiry & Domestic Inquiry

  • Importance of procedural fairness before dismissal
  • When DI is required
  • Steps for a proper DI
  • Roles of panel, observer, and witness

8. Proportionality in Disciplinary Action

  • Principle of proportionality explained
  • Factors considered by Industrial Courts
  • Aligning punishment with severity of misconduct

9. Managing Misconduct

  • Absenteeism
  • Sexual Harassment
  • Harassment (including bullying and hostile behaviour)
  • Insubordination
  • Gossiping / Character Assassination
  • Theft / Dishonesty
  • Conflict of Interest

10. Managing Poor Performance

  • Distinguishing poor performance from misconduct
  • Legal standards and expectations for managing performance issues
  • Performance Improvement Plan (PIP) – minimum requirements
  • Case studies on unfair dismissal related to poor performance

11. Understanding Wages

  • Definition of wages under EA 1955
  • Payment of wages – timeline and method
  • Calculation for incomplete month
  • Advances and loans
  • Non-entitlement due to imprisonment/court attendance
  • Lawful deductions

12. Pregnancy and Maternity Protection

  • Legal protections under the Employment Act
  • Maternity leave and benefits (Sections 37–40)
  • Termination restrictions  for pregnant employees and employees on maternity leave

13. Statutory Benefits & Entitlements

  • Rest days
  • Working hours and OT
  • Paid Public Holidays
  • Paid Annual Leave
  • Paid Sick Leave
  • Paid Paternity Leave
  • Ordinary Rate of Pay (ORP) – how to calculate
  • Common issues and disputes

14. Retrenchment Essentials

  • Legal principles
  • Process and notice requirements
  • Termination and Lay-Off Benefit

Foundations of Malaysian Employment Law & Industrial Relations

To provide HR and IR practitioners with a comprehensive and practical foundation in Malaysian employment law and industrial relations principles – empowering them to apply legal knowledge confidently in their daily work and manage workplace issues within legal boundaries.

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