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Basic Understanding of Employment Act 1955

The document provides an overview of the Malaysian Employment Act 1955 and Industrial Relations Act 1967. It defines key terms like employer and employee. It explains that the Employment Act covers employees with monthly wages less than RM1500 and certain manual workers above that threshold. It also distinguishes between a contract of service (employer-employee relationship) and contract for service (independent contractor). The workshop aims to help participants understand misconduct, discipline, and how employment contracts can be terminated according to these Acts.

Uploaded by

Cheri Ho
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© Attribution Non-Commercial (BY-NC)
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5K views

Basic Understanding of Employment Act 1955

The document provides an overview of the Malaysian Employment Act 1955 and Industrial Relations Act 1967. It defines key terms like employer and employee. It explains that the Employment Act covers employees with monthly wages less than RM1500 and certain manual workers above that threshold. It also distinguishes between a contract of service (employer-employee relationship) and contract for service (independent contractor). The workshop aims to help participants understand misconduct, discipline, and how employment contracts can be terminated according to these Acts.

Uploaded by

Cheri Ho
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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Basic Understanding Of

Employment Act 1955 &


Industrial Relation Act 1967

Designed & Facilitated by: Cheri Kok


Employment
Act 1955 Rev: 00 (February 2009)
For: Supervisory Development Program
Purpose
This comprehensive
program is designed to
guide the participants in the
basic understanding of
Malaysian Employment Act
1955 & Industrial Relation
Act 1967. 2
Main Objectives
 After attending this training, the
participants will be able to:-
1.Explain the definition of Employer and
Employee
2.Explain the “Misconduct” as per
included in the EA.
3.Handling of disciplinary issue.

3
Workshop Content
1. Introduction To The Act
2. Interpretation / Definition
a) Employer
b) Employee
3. Formation Of Contract Of Service
4. Misconduct
5. Discipline
6. Contract being broken
4
Methodology
What will we do
Lecture
Case
Study

Workshop
Structure
Exercise
Group
Discussion

5
Ground Rules
 Respect others.
 Observe time limits.
 Give everyone a change to speak.
 Everyone participates.
 Give positive feedback or feedback for
improvement.
 All phone in silent mode.
 Get permission before leaving the room.
6
Topic 1
Introduction To The Act

1. The scope of Employment Act


Employment
Act 1955
The Scope Of Employment Act
 This Act may be cited as the
Employment Act 1955.
 This Act shall apply to West Malaysia
only.

8
What Is Employment Law ?
 Employment Law is the law which regulates the
operation of the labour market in general and the
employment relationship between employers and
employees in particular.
– Examples include hiring process, suspension from
work, maternity rights, layoff and wages.
 The obligations and rights of an employment
contract are covered by the Employment law.
 When an offer for employment is made by an
employer to an employee, the law governing the
relationship between an employee and an
employer begins.

9
The Definition Of “Employer"

10
The Definition Of “Employees"
 The following types of employees are
included:
– (a) Any employee as long as his month
wages is less than RM1500.00 and
– (b) Any employee employed in manual work
including artisan, apprentice, transport
operator, supervisors or overseers of
manual workers, persons employed on
vessels and even domestic servants are
classified as employees even if their wages
is more than RM1500.00 per month.

11
A Contract Of Service
 An agreement whereby one person agrees
to employ another as an employee and the
other agrees to serve his/her employer as
an employee.
 The employer would need to contribute
EPF and comply with relevant statutory
benefits such as annual leave, sick leave
and et cetera for its employees engaged
under a contract of service.

12
A Contract For Service
 An agreement whereby a person is
engaged as an independent contractor,
such as a self-employed person or vendor
engaged for a fee to carry out an
assignment or a project for the company.
 There is no employer-employee
relationship
 Employee is not covered by the
Employment Act.

13
The Industrial Act 1967

Employment
Act 1955
The System of Industrial Relations –
A Malaysian Perspective
 The I.R system operates within the
legal framework of 2 principal
legislations namely:
1. The Trade Unions Act 1959
2. The Industrial Relations Act 1967

15

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