Malaysia Labour Law Overtime

If the employee s salary exceeded rm2 000 a month then the hours of work and overtime will be referred to the terms agreed under the employment contract. In this article we will study the laws governing the hours of work and overtime work for employees under malaysia s labour laws. The employment act 1955 is the main legislation on labour matters in malaysia.

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Short title and application 1 this act may be cited as the employment act 1955.

Malaysia labour law overtime. The overtime calculator rate payable for non workmen is capped at the salary level of myr1250 00 and have work of 44 hours a week for overtime calculator for payroll software malaysia work your employer must pay you at least 1 5 times the hourly basic rate of pay. Where an employee is allowed more than one rest day in a week employees working on 5 day week the last of the rest days shall be the rest day for overtime purposes. The employment act provides minimum terms and conditions mostly of monetary value to certain category of workers any employee as long as his month wages is less than rm2000 00 and. There is no law stating that employers can provide time off in lieu of paying overtime.

The limit to overtime work is covered in the employment regulations 1980 stating that overtime work shall be a total of 104 hours in any 1 month. For malaysian workers overtime work and pay can be granted to employees under employment act 1955. Summary of employment laws in malaysia employment act 1955. Interpretation 1 in this act unless the context otherwise requires.

2 this act shall apply to west malaysia only. Overtime on rest days every employee is allowed a rest day of one whole day per week. So for employees working monday to friday the rest day will be sunday. 1st june 1957 part i preliminary.

Payment must be made within 14 days after the last day of the salary period. If the employee s salary does not exceed rm2 000 a month or falls within the first schedule of employment act 1955 then we will refer to the employment act 1955. An act relating to employment.