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Regular Employment Contract for Malaysia

Regular Employment Contract Template for Malaysia

A comprehensive employment contract template designed for use in Malaysia, compliant with the Employment Act 1955 and related Malaysian employment legislation. This document establishes the formal employment relationship between employer and employee, outlining essential terms and conditions including job responsibilities, compensation, benefits, working hours, leave entitlements, and termination provisions. The contract incorporates mandatory requirements under Malaysian law while providing flexibility to accommodate various industry-specific needs and employment levels.

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Regular Employment Contract

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What is a Regular Employment Contract?

This Regular Employment Contract template is designed for use by Malaysian employers or companies operating in Malaysia who need to formalize employment relationships in compliance with local laws. The document incorporates requirements from the Employment Act 1955, Industrial Relations Act 1967, and other relevant Malaysian legislation. It is suitable for establishing permanent employment relationships and includes all mandatory provisions required by Malaysian law, such as working hours, leave entitlements, and statutory benefits. The contract can be customized for different employment levels and sectors while maintaining legal compliance, making it a versatile tool for human resources departments and hiring managers.

What sections should be included in a Regular Employment Contract?

1. Parties: Identification of the employer and employee with complete legal names and addresses

2. Background: Brief context about the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the contract defined for clarity

4. Appointment and Duration: Job title, employment status (permanent/fixed-term), and commencement date

5. Duties and Responsibilities: Main job duties, reporting relationships, and performance expectations

6. Place of Work: Primary workplace location and any mobility requirements

7. Hours of Work: Regular working hours, rest days, and overtime arrangements as per Employment Act

8. Remuneration and Benefits: Salary, allowances, bonuses, and statutory benefits

9. Leave Entitlements: Annual, medical, maternity/paternity, and other statutory leave provisions

10. Medical Benefits: Healthcare coverage and medical examination requirements

11. Probation Period: Duration of probation and conditions for confirmation

12. Termination: Notice periods and grounds for termination by either party

13. Confidentiality: Protection of company confidential information and trade secrets

14. Governing Law: Specification of Malaysian law as governing law

15. Entire Agreement: Clause stating this document represents the complete agreement between parties

What sections are optional to include in a Regular Employment Contract?

1. Non-Competition: Restrictions on working with competitors, used for senior positions or roles with access to sensitive information

2. Non-Solicitation: Restrictions on soliciting employees/clients, typically for sales or management roles

3. Intellectual Property: IP rights assignment, relevant for creative or technical roles

4. Remote Work: Terms for working from home or remote locations, if applicable

5. Commission Structure: Details of commission calculations for sales roles

6. International Travel: Terms for international assignments or travel requirements

7. Training Requirements: Mandatory training and professional development obligations

8. Stock Options: Employee share option schemes for eligible employees

9. Relocation Terms: Relocation assistance and requirements if applicable

What schedules should be included in a Regular Employment Contract?

1. Schedule 1 - Job Description: Detailed breakdown of job responsibilities and requirements

2. Schedule 2 - Compensation Details: Detailed breakdown of salary components and benefits

3. Schedule 3 - Company Policies: Key company policies that form part of the employment terms

4. Schedule 4 - Performance Metrics: KPIs and performance evaluation criteria

5. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines

6. Appendix B - Statutory Benefits: Summary of statutory benefits under Malaysian law

7. Appendix C - Confidentiality Agreement: Detailed confidentiality obligations and procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Document Type

Employment Contract

Cost

Free to use
Relevant legal definitions






































Clauses






























Relevant Industries

Technology

Manufacturing

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Retail

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Relevant Teams

Human Resources

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Operations

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Relevant Roles

Chief Executive Officer

Managing Director

General Manager

Department Head

Senior Manager

Manager

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Officer

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Engineer

Developer

Accountant

Sales Representative

Customer Service Representative

Technical Support Specialist

Administrative Assistant

Operations Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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