🇲🇾 Malaysia · Employment & Labor

Hiring rules, employment contracts, payroll, social insurance, and EOR options.

Quick answer

Malaysian employment under the Employment Act sets a national minimum wage, a 45-hour work week, paid annual leave of 8-16 days by service, and termination benefits. Employers contribute to EPF, SOCSO and EIS; disputes go to the Labour Department and, for dismissals, the Industrial Court.

Employment in Malaysia is governed by the Employment Act; the Ministry of Human Resources oversees conditions and a national minimum wage.

  • The Employment Act sets working hours, leave and termination rules.
  • A national minimum wage applies.
  • Employers contribute to EPF (pension) and SOCSO (social security).

Step-by-step

  1. 1

    Get a written contract

    Get a written contract of service covering wages, hours and benefits.

  2. 2

    Know your pay and hours rights

    You must receive at least the national minimum wage; normal hours are capped at 45 a week, with overtime at premium rates.

  3. 3

    Understand leave entitlements

    You are entitled to 8-16 days' paid annual leave depending on service, plus paid sick leave and public holidays.

  4. 4

    Register for EPF, SOCSO and EIS

    Your employer contributes to the Employees Provident Fund (EPF), SOCSO and the Employment Insurance System (EIS).

  5. 5

    Know termination and benefits rules

    Notice or pay in lieu applies, and eligible employees receive termination/lay-off benefits; dismissal without just cause can be challenged.

  6. 6

    Resolve disputes

    Raise wage/standards issues with the Labour Department, and unfair-dismissal claims through the Industrial Relations process and Industrial Court.

Checklist

  • Written contract of service
  • National minimum wage
  • 45-hour week + premium overtime
  • 8-16 days' annual leave + sick leave + holidays
  • EPF + SOCSO + EIS contributions
  • Notice/pay in lieu + termination benefits
  • Just-cause dismissal protection
  • Dispute route (Labour Department / Industrial Court)

Official authorities

Frequently asked questions

Is there a minimum wage in Malaysia?

Yes — a national minimum wage applies, reviewed periodically by the government.

What is EPF?

The Employees Provident Fund is the mandatory retirement-savings scheme funded by employer and employee contributions.

Can I challenge an unfair dismissal?

Yes — a dismissal without just cause or excuse can be referred through the Industrial Relations Department to the Industrial Court.

Official-information aggregation, not legal advice. Always verify on the authority's own site.

Government portals

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