What Changed in the Employment Act?

Amendments that took effect on 1 January 2023 changed who the Employment Act protects. Older explanations of the Act still trip people up.

What did this reform change?

The amendments extended statutory coverage to all employees, regardless of wage, once they came into force on 1 January 2023.¹

Before that date, some protections applied only up to a set salary level. That general limit was removed for most of the Act.

Does a wage limit still apply anywhere?

Yes, in one part. Rules on working hours, overtime and rest days still apply only to employees earning up to RM4,000 a month.¹

Everything else in the Act now reaches employees at any salary. Older material often misses this.

What else changed alongside wider coverage?

The same reforms set a maximum 45-hour work week and strengthened protection around pregnancy, including a ban on dismissing someone because she is pregnant.²

These changes matter if your situation involves hours, overtime or a pregnancy-related dismissal.

Does this reform decide whether a dismissal was fair?

These amendments concern entitlements under the Employment Act. Whether a dismissal needed just cause or excuse is a separate question under a different law.

You can rely on these updated entitlements and pursue an unfair dismissal claim at the same time.

What should you check today?

Note the date your situation happened. Anything after 1 January 2023 falls under the updated rules rather than the older version.

Keep your contract and payslips from before and after that date. They show which rules applied to your pay and hours, and whether your wage was above or below the RM4,000 line.¹

If your case involves pregnancy or a dismissal, read maternity protection next, and check your filing window on the deadline calculator.