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Employment Contract For Sales Representative for Malaysia

Employment Contract For Sales Representative Template for Malaysia

This document is a comprehensive employment contract tailored for sales representatives in Malaysia, compliant with the Employment Act 1955 and other relevant Malaysian employment legislation. It outlines the terms and conditions of employment, including base salary, commission structures, sales targets, territory assignments, and performance metrics. The contract incorporates essential provisions for confidentiality, non-competition, and intellectual property protection, while ensuring compliance with local labor laws regarding working hours, leave entitlements, and benefits. It is structured to protect both employer and employee interests while facilitating clear performance expectations and compensation frameworks in a sales context.

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What is a Employment Contract For Sales Representative?

This Employment Contract For Sales Representative is designed for use in Malaysia when hiring sales personnel across various industries. It complies with Malaysian employment legislation, particularly the Employment Act 1955, Industrial Relations Act 1967, and relevant employment regulations. The contract is essential for companies establishing formal employment relationships with sales staff, providing clear terms regarding base compensation, commission structures, sales territories, and performance expectations. It includes provisions for confidentiality, non-competition, and customer relationship management, making it suitable for both B2B and B2C sales roles. The document ensures protection of employer interests while providing clear guidelines and expectations for sales representatives, incorporating necessary flexibility for commission structures and sales targets through detailed schedules that can be updated as needed.

What sections should be included in a Employment Contract For Sales Representative?

1. Parties: Identification of the employer company and the sales representative

2. Background: Context of the employment relationship and brief description of the business

3. Definitions: Key terms used throughout the contract including 'Territory', 'Commission', 'Sales Targets', etc.

4. Appointment and Duration: Terms of employment, including position, commencement date, and probation period

5. Duties and Responsibilities: Detailed description of the sales representative's role, reporting structure, and key responsibilities

6. Remuneration and Benefits: Base salary, commission structure, benefits, and payment terms

7. Working Hours and Location: Standard working hours, flexibility requirements, and primary work location

8. Leave Entitlements: Annual, medical, and other types of leave as per Malaysian law

9. Sales Targets and Performance Metrics: Expected sales targets, KPIs, and performance evaluation criteria

10. Confidentiality: Protection of company's confidential information and trade secrets

11. Intellectual Property: Ownership of work products and customer relationships

12. Non-Competition and Non-Solicitation: Restrictions on competitive activities during and after employment

13. Termination: Grounds for termination, notice periods, and procedures

14. Governing Law: Specification of Malaysian law as governing law and jurisdiction

What sections are optional to include in a Employment Contract For Sales Representative?

1. International Travel: Required when the role involves overseas travel, detailing travel policies and allowances

2. Vehicle Allowance: Include when company vehicle or transport allowance is provided

3. Product Training: Specific requirements for product knowledge and sales training programs

4. Remote Work Provisions: Include when remote working arrangements are permitted

5. Data Protection Obligations: Required when role involves handling sensitive customer data

6. Industry-Specific Compliance: Include when role requires compliance with specific industry regulations

7. Stock Options/Share Schemes: Include if employee is eligible for company share schemes

8. Expense Policy: Detailed policy on reimbursable expenses and claiming procedures

What schedules should be included in a Employment Contract For Sales Representative?

1. Schedule 1: Commission Structure: Detailed breakdown of commission rates, calculation methods, and payment terms

2. Schedule 2: Sales Territory: Definition and map of assigned sales territory or customer accounts

3. Schedule 3: Performance Metrics: Detailed KPIs, targets, and evaluation criteria

4. Schedule 4: Benefits Package: Detailed description of all benefits, allowances, and incentives

5. Schedule 5: Product List: List of products/services the representative is authorized to sell

6. Appendix A: Code of Conduct: Company's code of conduct and sales practices

7. Appendix B: Expense Policy: Detailed policy on business expenses and reimbursement procedures

8. Appendix C: Compliance Requirements: Industry-specific compliance requirements and procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Publisher

Genie AI

Document Type

Employment Contract

Cost

Free to use
Relevant legal definitions








































Clauses








































Relevant Industries

Retail

Technology

Manufacturing

Pharmaceuticals

Consumer Goods

Telecommunications

Financial Services

Insurance

Real Estate

Automotive

Industrial Equipment

Medical Devices

Software and IT

Professional Services

Relevant Teams

Sales

Business Development

Account Management

Commercial

Revenue

Customer Success

Field Operations

Product Sales

Direct Sales

Inside Sales

Relevant Roles

Sales Representative

Senior Sales Representative

Sales Executive

Account Executive

Business Development Executive

Sales Consultant

Territory Sales Manager

Regional Sales Representative

Product Sales Specialist

Inside Sales Representative

Field Sales Representative

Sales Development Representative

Junior Sales Executive

Key Account Representative

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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