Annual, medical, hospitalization, maternity and paternity leave are compulsory leave in Malaysia. Besides that, rest days and public holidays are also enforced under the Employment Act 1955 (EA). Read more about leave entitlements under the Employment Act
The minimum days of leave stated in the Employment Act are between 8 to 16 days per year, based on the years of service. It is up to the employers to provide an additional number of days.
Leave management is essential to payroll calculations. Unpaid leave links directly to employees’ salary, where information on deductions needs to be displayed to the employees; via payslips. In Malaysia, it is also required for annual leave balance information to be displayed on payslips given to employees.