MALAYSIAN LABOUR LAW- 5 [ FAQ]

WHAT ARE THE CIRCUMSTANCES UNDER WHICH AN EMPLOYEE IS NOT ENTITLED TO TERMINATION OR LAY-OFF BENEFITS ?

There are certain circumstances under which an employee is not entitled to termination or layoff benefits :
Employed for less than 12 months on date of termination .
The employee voluntarily terminates the contract of service
Where the employee commits misconduct inconsistent with the fulfillment of the expression or implied condition of service after due inquiry.
Where the employee attains the age of retirement as stipulated in the contract of service
The contract of service is renewed
The employee re-engaged on terms and conditions not less favorable than his previous contract
7 days before the date of termination, the employer has offered to renew the contract on no less favorable terms
The employee leaves the services without paying the employer the indemnity due contract of service after receiving due notice of termination of the contract or without employer's prior consent
An employer shall pay termination or layoff benefits to an employee not later than 7 days after the termination.