As the Chinese New Year (CNY) holidays approach, the Human Resources Ministry (KESUMA) has issued a firm reminder to employers to uphold workers rights under Malaysia's labour laws. Employers have been warned against forcing employees to take annual leave or unpaid leave due to extended business closures surrounding the CNY holidays.

In a statement, KESUMA highlighted that such practices are illegal and unfair to employees. This reminder comes after the ministry received complaints from workers who reported being compelled to take leave for company shutdowns extending beyond the official public holidays.

"The CNY holidays for 2025 are on January 29 and 30. However, some businesses have decided to remain closed for additional days before or after these dates," the ministry noted. "Workers should not be forced to use their Annual Leave entitlements or face salary deductions due to these closures."

KESUMA emphasized that annual leave is a right granted to employees and must be taken voluntarily at the discretion of the employee. Employers do not have the authority to impose leave or unpaid leave simply to cut operational costs.

To ensure workers rights are protected, KESUMA urged employees who face unlawful leave deductions or salary reductions to report such incidents to the nearest Labour Office. These actions, the ministry explained, constitute a violation of Section 69 of the Employment Act 1955 (Act 265), which safeguards workers from unfair labour practices.

"Employers must comply with Malaysia's employment laws and respect workers entitlements," KESUMA stated. "Failure to do so could result in legal action and penalties."

The ministry also encouraged businesses to plan their operations responsibly during the festive season. It reiterated the importance of balancing operational needs with employees rights to avoid any breach of the law.