Malaysian Labour Law Salary Calculation
Peninsular malaysia 1 june 1957 l n.
Malaysian labour law salary calculation. The salary of a monthly rated employee is apportioned base on the number of days in the respective calendar month. The employment act 1955 is the main legislation on labour matters in malaysia. In this article we will study the laws governing the hours of work and overtime work for employees under malaysia s labour laws.
1 this act may be cited as the employment act 1955. The apportionment continue reading salary calculation. Salary calculation for incomplete month when an employee joins a company or ceases employment during a month thereby having an incomplete month of service the salary payment may have to be apportioned accordingly.
Have the provisions of sections 38 and 40 of the employment act explained to you. Summary of employment laws in malaysia employment act 1955. But overtime can be a very confusing matter.
Id for the purposes of payment of sick leave under section 60f the calculation of the ordinary rate of pay of an employee employed on a daily rate of pay or on piece rates under subsection 1c shall take account only of the basic pay the employee receives or the rate per piece he is paid for work done in a day under the contract of service. Be informed of your daily working hours number of working days in each week and weekly rest day. A 400 2000 p art i preliminary short title and application 1.
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. Laws of malaysia act 265 employment act 1955 an act relating to employment. Federal territory of labuan 1 november 2000 p u.
If the employee s salary does not exceed rm2 000 a month or falls within the first schedule of employment act. In malaysia overtime is still popular among companies especially in the f b sector. However employment act 1955 only applies to peninsular malaysia and labuan.
Give your consent in writing.