HRMS
Malaysia’s leave laws are designed to ensure employees are not only fairly compensated for their work—but also entitled to adequate time off for rest, recovery, family responsibilities, and personal matters.
Under the Employment Act 1955 and other supporting regulations, employers are required to provide various types of leave including:
This guide explores the key provisions of Malaysia's leave entitlements and how companies can stay compliant while supporting employee wellbeing.
📌 Whether you're an HR professional or SME owner, understanding these laws is essential to building a healthy, legally compliant workplace culture.
Staying compliant with these regulations is crucial for avoiding legal risks, employee dissatisfaction, or claims of unfair treatment. The Employment Act 1955 requires all employers in Malaysia to provide certain types of paid leave. One of the key entitlements is annual leave, which ensures that employees have time off for rest and personal matters.
Employees who have completed at least 12 months of continuous service are entitled to paid annual leave based on their years of employment:
| Length of Service | Minimum Paid Annual Leave Entitlement |
|---|---|
| 1 to 2 years | 8 days per year |
| 2 to 5 years | 12 days per year |
| More than 5 years | 16 days per year |
Sick leave is a mandatory benefit under Malaysian labour law to ensure employees can recover from illness without loss of income. Section 60F of the Employment Act 1955 outlines the entitlement based on the employee's duration of service.
| Length of Employment | Annual Sick Leave Entitlement |
|---|---|
| 1 to 2 years | 14 days |
| 2 to 5 years | 18 days |
| More than 5 years | 22 days |
To be eligible for paid sick leave:
✅ With MOCHI HRMS+, sick leave balances, MC attachment, HR approvals, and payroll integration are fully automated—making it easy to track entitlements and ensure compliance.