Employment Amendment Act 2022
The Employment (Amendment) Act 2022 was passed in Parliament and has come into force on 1 January 2023.
We highlight below some of the major changes that will affect HR compliance.
Maximum Working hours
Working hours has been reduced to 45 hours per week.
The previous limit was 48 hours per week.
Work hours exclude meal breaks.
However, for shift work, where an employee is required to work more than 8 hours per day due to the nature of work, the maximum number of hours should not exceed the average of 45 hours over 3 weeks.
Any hours worked in excess of 45 hours would be considered overtime for employees earning RM4,000 and below.
Overtime entitlement
The salary cap for overtime entitlement has been increased from RM2,000 to RM4,000.
Employees earning RM4,000 and below are now entitled to overtime payment.
Maternity leave
Entitlement has been increased from 60 to 98 days.
Paternity leave
Fathers are now entitled to seven consecutive days paid paternity leave.
However, he must have been employed for at least 12 months prior to this entitlement, and is required to inform his employer at least 30 days in advance of the confinement period.
Flexible working arrangement
Employees can now apply to vary their their hours of work, days of work or place of work by making a written request to their employer.
Employers are required to approve or reject such requests within 60 days, if rejecting the request, must provide reasons for the rejection.