Hiring someone new is exciting—but let’s be honest, it can also be stressful. That’s why most companies in Malaysia include a probation period, usually lasting between one to six months. Think of it as a test drive for both you and the new hire. It helps determine if they fit your team culture and if your company aligns with their career goals.
But here’s the thing—probation can be confusing. What happens with annual leave? What if things don’t work out? Let’s break it down.
Probation: What You Need to Know
Did you know that ‘probationer’ isn’t even defined in Malaysian labor laws? However, case law distinguishes between a confirmed employee and a probationer—essentially, someone still proving they’re a good long-term fit.
While probation isn’t mandatory, it’s an industry norm. The details—how long it lasts, how confirmation works, and the notice period—are all determined by your employment contract.
The good news? Probationers have the same legal rights as confirmed employees. They’re entitled to minimum wage, public holidays, overtime, and even annual leave under the 2022 Employment Act amendments. The not-so-good news? They can still be let go—but only for just cause.
Common Questions About Probation
Do probationers get annual leave? Yes! Employers must provide annual leave, just like for confirmed employees.
Can probation be extended indefinitely? No, while there’s no set limit, best practices suggest three months max.
Are employers required to pay EPF, SOCSO, and LHDN? Absolutely—probationers get the same statutory contributions as full-time employees.
Can you fire someone without notice during probation? Nope! The law requires a notice period unless termination is for serious misconduct.
Effortsly Handles HR, So You Can Focus on Growth
You’re busy running a business—you shouldn’t have to stress over HR risks, compliance, or probation policies. That’s where Effortsly comes in.
We help businesses like yours hire with confidence, handling everything from contracts to payroll and probation management. No legal headaches, no surprises—just seamless hiring.
Ready to simplify your HR? Let’s talk. Email us at support@effortsly.com today!
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