Employment Act · 2026 Revised Edition · Part · Rest Days, Hours of Work, Holidays and Other Conditions of Service
70. Holidays
In plain English
Not legal advice
Every employee gets each public holiday off with pay at the gross rate. Unexcused absence on the working day before or after a public holiday means no holiday pay. Outside the public service and essential services, an employee who works on a holiday at the employer's request gets an extra day's salary at the basic rate.
Summary · Drafted with AI, checked against the official text on 30 Sep 2026.
Official textFrom Attorney General's Chambers, unchanged
Every employee shall be entitled to a paid holiday at his gross rate of pay on every public holiday that falls during the time that he is employed:
employee
“employee” means a person who has entered into or who works under a contract of service with an employer, and includes a workman and any public officer or employee of the Government included in a category, class or description of such officers or employees declared by the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, to be employees for the purposes of this Act or any Part thereof; but does not include any seaman, domestic worker or any person employed in a managerial, executive or confidential position or any person belonging to any other class of person whom the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, may by notification published in the Gazette, declare not to be employees for the purposes of this Act;
Provided that —
by agreement between the employer and the employee, any other day or days may be substituted for any one or more public holidays;
Employment 52
if any public holiday falls on a rest day, the working day next following that rest day shall be a paid holiday; and
if any public holiday falls on a day when the employee is not required to work under his contract of service, the employer may either pay the employee for that holiday at his gross rate of pay or give the employee a day off in substitution for that holiday.
Notwithstanding subsection (1), no employee shall be entitled to holiday pay for any public holiday which falls on a day when the employee is on leave of absence without pay granted by the employer at the request of the employee.
An employee who absents himself from work on the working day immediately preceding or immediately succeeding a public holiday or on any day substituted therefor under subsection (1), without the prior approval of his employer or without reasonable excuse, shall not be entitled to any holiday pay for that public holiday.
Notwithstanding subsection (1), any employee may be required by his employer to work on any holiday to which he would otherwise be entitled under that subsection, and in such event he shall be paid an extra day’s salary at the basic rate of pay for one day’s work, in addition to the gross rate of pay for that day and to a travelling allowance, if payable to him under the contract of service with his employer, for one day.
employer
“employer” means any person who employs another person under a contract of service and includes — (a) the Government, in respect of such categories, classes or descriptions of public officers or employees of the Government as are declared by the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, to be employees for the purposes of this Act; (b) any statutory body; (c) the duly authorised agent or manager of the employer; (d) the person who owns or is carrying on or for the time being responsible for the management of the profession, business, trade or work in which the employee is engaged;
No employee shall be entitled under subsection (4) to receive double any housing allowance or food allowance.
Subsection (4) does not apply to an employee who is employed in the public service or in any of the essential services as defined in section 3(3) of the Internal Security Act (Chapter 133) for the purposes of that section, but any such employee may, notwithstanding subsection (1), be required by his employer to work on a holiday or part thereof to which he would otherwise be certified under that subsection, and in any such case he shall be given a day or part of a day off, as the case may be, in substitution for the holiday or part thereof.
For the purposes of this section, if any public holiday falls on a half working day, the gross or basic rate of pay payable shall be that of a full working day.
basic rate of pay
“basic rate of pay” means the total amount of money (including salary adjustments and increments) to which an employee is entitled under his contract of service either for working for a period of time, that is, for one hour, one day, one week, one month or for such other period as may be stated or implied in his contract of service, or for each completed piece or task of work but does not include — (a) additional payments by way of overtime payments; (b) additional payments by way of bonus payments or annual salary supplements; (c) any sum paid to the employee to reimburse him for special expenses incurred by him in the course of his employment; (d) productivity incentive payments; and (e) any allowance however described;
Employment
Terms defined in s 2
basic rate of pay
Defined · s 2“basic rate of pay” means the total amount of money (including salary adjustments and increments) to which an employee is entitled under his contract of service either for working for a period of time, that is, for one hour, one day, one week, one month or for such other period as may be stated or implied in his contract of service, or for each completed piece or task of work but does not include — (a) additional payments by way of overtime payments; (b) additional payments by way of bonus payments or annual salary supplements; (c) any sum paid to the employee to reimburse him for special expenses incurred by him in the course of his employment; (d) productivity incentive payments; and (e) any allowance however described;
contract of service
Defined · s 2“contract of service” means, subject to section 10, any agreement, whether in writing or oral and whether express or implied, whereby one person agrees to employ another as an employee and that other agrees to serve him as an employee, and includes a contract of apprenticeship;
employee
Defined · s 2“employee” means a person who has entered into or who works under a contract of service with an employer, and includes a workman and any public officer or employee of the Government included in a category, class or description of such officers or employees declared by the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, to be employees for the purposes of this Act or any Part thereof; but does not include any seaman, domestic worker or any person employed in a managerial, executive or confidential position or any person belonging to any other class of person whom the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, may by notification published in the Gazette, declare not to be employees for the purposes of this Act;
employer
Defined · s 2“employer” means any person who employs another person under a contract of service and includes — (a) the Government, in respect of such categories, classes or descriptions of public officers or employees of the Government as are declared by the Minister, with the approval of His Majesty the Sultan and Yang Di-Pertuan, to be employees for the purposes of this Act; (b) any statutory body; (c) the duly authorised agent or manager of the employer; (d) the person who owns or is carrying on or for the time being responsible for the management of the profession, business, trade or work in which the employee is engaged;
gross rate of pay
Defined · s 2“gross rate of pay” means the total amount of money including allowances to which an employee is entitled under his contract of service either for working for a period of time, that is, for one hour, one day, one week, one month or for such other period as may be stated or implied in his contract of service, or for each completed piece or task of work but does not include — (a) additional payments by way of overtime payments; (b) additional payments by way of bonus payments or annual salary supplements; (c) any sum paid to the employee to reimburse him for special expenses incurred by him in the course of his employment; (d) productivity incentive payments; and (e) travelling, food or housing allowances: Provided that in the case of employee on piece rates, the ordinary rate of pay shall be calculated by dividing the period of 14 days immediately preceding the day on which the rate of pay is required to be calculated by the number of days on which such employee actually worked during such period;
salary
Defined · s 2“salary” means all remuneration including allowances payable to an employee in respect of work done under his contract of service, but does not include — (a) the value of any accommodation or the supply of any food, fuel, electricity, water or medical attendance, or of any amenity or service excluded by order of the Minister published in the Gazette; (b) any contribution paid by the employer on his own account to any pension fund or provident fund; (c) any travelling allowance or the value of any travelling concession; (d) any sum paid to the employee to reimburse him for special expenses incurred by him in the course of his employment; (e) any gratuity payable on discharge or retirement; and (f) any retrenchment benefit payable on retrenchment;
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