Amendments to Malaysia's Employment Act to be applicable only from 1 Jan 2023

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Engagement sessions with stakeholders found that industry players needed more time for the amendments to come into force.

Enforcement of the amendments to Malaysia's Employment Act 1955 will begin on 1 January 2023, instead of 1 September 2022 as initially planned. This decision by the Cabinet was announced in a press conference aired by Astro AWANI and shared on the Ministry of Human Resources' Facebook page.

As cited in Bernama, industries and employers unanimously asked for the postponement "due to several factors". Engagement sessions with stakeholders found that industry players needed more time for the amendments to come into force amidst shortage of foreign workers and recovery from the COVID-19 pandemic.

Speaking at the conference, Human Resources Minister Datuk Seri M. Saravanan affirms that "the ministry is concerned about the interests of employees". Particularly, he is concerned that if industries suffer, many will lose their jobs. As such, the delay is to "safeguard their interests."

However, the Minister assures that this would be the final postponement: "By hook or by crook, these amendments will be enforced on 1 January 2023."

Under the amendments, working hours will be reduced from 48 to 45 per week; flexible work arrangements (FWAs) will be included; maternity leave and paternity leave will be extended; and the approval process on the hiring of foreign workers will be revised.

ALSO READ: Amendments to Malaysia's Employment Act 1955: Legal experts' insights

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