This Permanent Contract template is designed for use by employers in Malaysia when hiring full-time, permanent employees. It ensures compliance with Malaysian employment law, particularly the Employment Act 1955, while providing a comprehensive framework for the employment relationship. The document should be used when converting temporary staff to permanent positions or hiring new permanent employees. It includes essential provisions required by Malaysian law such as working hours, leave entitlements, and statutory benefits, as well as additional terms covering confidentiality, intellectual property rights, and company-specific policies. The contract can be customized based on the employee's seniority, role-specific requirements, and industry standards while maintaining its core compliance with Malaysian employment legislation.
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1. Parties: Identification of the employer and employee with complete details
2. Background: Brief context of the employment relationship and agreement purpose
3. Definitions: Key terms used throughout the agreement
4. Appointment and Duration: Position title, employment status, and commencement date
5. Duties and Responsibilities: Main job responsibilities and reporting relationships
6. Place of Work: Primary workplace location and potential for relocation
7. Working Hours: Standard working hours, rest periods, and overtime provisions
8. Remuneration and Benefits: Salary, allowances, bonuses, and statutory benefits
9. Leave Entitlements: Annual, medical, maternity/paternity, and other leave types
10. Medical Benefits: Healthcare coverage and medical examination requirements
11. Statutory Contributions: EPF, SOCSO, and other mandatory contributions
12. Confidentiality: Protection of company information and trade secrets
13. Intellectual Property: Ownership of work products and innovations
14. Termination: Notice periods and grounds for termination
15. Company Policies: Compliance with company rules and regulations
16. Governing Law: Application of Malaysian law and jurisdiction
1. Probation Period: Terms of initial probationary period, if applicable
2. Non-Competition: Post-employment restrictions on working with competitors
3. Non-Solicitation: Restrictions on soliciting employees or clients after employment
4. Remote Work: Provisions for working from home or remote locations
5. Commission Structure: Details of sales or performance-based commission schemes
6. Car Allowance: Terms of vehicle provision or transportation allowance
7. Housing Allowance: Terms of accommodation benefits or housing allowance
8. International Travel: Terms for international assignments or travel requirements
9. Performance Bonus: Structure and conditions of performance-based bonuses
10. Share Options: Employee share option scheme participation details
1. Schedule 1 - Job Description: Detailed breakdown of job duties and responsibilities
2. Schedule 2 - Compensation Details: Detailed breakdown of salary components and benefits
3. Schedule 3 - Company Policies: Key company policies and procedures
4. Schedule 4 - Confidential Information: Definition and scope of confidential information
5. Schedule 5 - Benefits Summary: Summary of all employee benefits and eligibility conditions
6. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines
7. Appendix B - IT Policy: Technology usage and security policies
8. Appendix C - Leave Policy: Detailed leave application and management procedures
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