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An Employment Policy sets out the core rules and standards that guide the relationship between employers and employees in Malaysian workplaces. It covers essential matters like hiring practices, working hours, leave entitlements, and workplace conduct, aligning with the Employment Act 1955 and Industrial Relations Act 1967.

These policies help organizations create fair, consistent working environments while protecting both employer and employee rights. They typically include specific procedures for handling grievances, disciplinary matters, and benefits administration - making them crucial tools for HR teams and managers to maintain workplace harmony and legal compliance.

Create an Employment Policy when establishing a new business in Malaysia or updating workplace standards in an existing company. This foundational document becomes essential before hiring your first employee, opening new locations, or implementing significant operational changes that affect staff.

Update your Employment Policy when labor laws change, such as amendments to the Employment Act 1955 or new Ministry of Human Resources directives. Regular reviews ensure your policies remain current with minimum wage requirements, working hour regulations, and mandatory benefits - protecting your organization from compliance issues and helping maintain positive employee relations.

• Employment Contract Policy: Sets core terms for permanent employees, including duties, benefits, and working conditions
• Policy For Contractual Employees: Addresses specific rules for fixed-term and project-based workers
• Contract Employee Leave Policy: Details leave entitlements for contract staff
• Employment Termination Policy: Outlines procedures for ending employment relationships
• Employee Resignation And Termination Policy: Covers both voluntary and involuntary employment separation processes

• HR Directors and Managers: Draft, implement, and update Employment Policies to ensure workplace standards align with Malaysian labor laws
• Legal Counsel: Review policies for compliance with Employment Act requirements and provide guidance on enforcement
• Department Heads: Help customize policies for specific operational needs and ensure team compliance
• Employees: Must understand and follow policy guidelines regarding work conduct, benefits, and responsibilities
• Trade Unions: Provide input during policy development to protect worker interests under Industrial Relations Act
• Ministry of Human Resources: Sets regulatory framework that shapes policy content and enforcement standards

• Company Details: Gather your organization's structure, size, industry, and operational locations in Malaysia
• Legal Requirements: Review current Employment Act provisions, minimum wage orders, and industry-specific regulations
• Work Arrangements: Document standard working hours, leave entitlements, and flexible work options
• Benefits Structure: List all mandatory and additional benefits, including EPF, SOCSO, and medical coverage
• Disciplinary Process: Outline clear procedures for warnings, misconduct, and termination
• Template Selection: Use our platform's Malaysian-compliant templates to ensure all essential elements are included
• Internal Review: Have department heads verify policy practicality for their teams

• Scope and Purpose: Clear statement of policy coverage and objectives under Malaysian employment law
• Working Hours: Standard hours, overtime rules, and rest periods per Employment Act 1955
• Leave Entitlements: Annual, medical, maternity/paternity, and public holiday provisions
• Compensation: Salary structure, benefits, and compliance with Minimum Wages Order
• Code of Conduct: Workplace behavior standards and disciplinary procedures
• Grievance Procedures: Steps for addressing employee complaints and disputes
• Termination Terms: Notice periods, grounds for dismissal, and exit procedures
• Data Protection: Handling of employee information under PDPA 2010

An Employment Policy differs significantly from a Corporate Policy. While both guide organizational behavior, they serve distinct purposes and cover different aspects of business operations.

• Scope and Focus: Employment Policies specifically address employer-employee relationships, workplace conditions, and labor law compliance. Corporate Policies cover broader business operations, including governance, stakeholder relations, and strategic direction.
• Legal Framework: Employment Policies must align with Malaysia's Employment Act 1955 and Industrial Relations Act. Corporate Policies follow Companies Act requirements and general business regulations.
• Implementation Level: Employment Policies apply directly to staff management and daily workplace operations. Corporate Policies guide high-level decision-making and organizational strategy.
• Enforcement: Employment Policies are legally enforceable under labor laws and can be referenced in workplace disputes. Corporate Policies primarily serve as internal governance tools with less direct legal impact on employee rights.