Newsletter-41-2019-Guide on Proposed Sales Tax Rate & SST Regulations 2018

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The Workers’ Minimum Standards of Housing and Amenities (Amendment) Bill 2019 was passed by Parliament on 15 July 2019. The amendment expands the minimum standards of housing and provision of basic facilities for workers in all sectors (previously applicable only to plantation and mining sectors).

Key Amendments to the Workers’ Minimum Standards of Housing and Amenities Act 1990

1. Scope of Application

The Act now applies only to Peninsular Malaysia and the Federal Territory of Labuan instead of the whole of Malaysia.

2. Amendment to Section 10 – Nursery

Employers may be required by the Director General to provide a nursery if at least 5 dependents under 4 years old reside in employer-provided accommodation (previously 10 dependents).

3. Increased Penalties for Offences

Resident Manager

  • Fine up to RM10,000
  • Additional RM1,000 per day for continuing offences

Employer

  • Fine up to RM50,000
  • Additional RM1,000 per day for continuing offences

4. New Part IIIA – Accommodation (Inserted after Section 24)

Application

Applies to employees except those working in estates (agricultural land exceeding 20 hectares or 49.4211 acres).

Employer / Centralised Accommodation Provider Responsibilities

Certificate Requirement

Employers must obtain a Certificate for Accommodation from the Director General before providing accommodation.

Penalty for non-compliance:

  • Employer: Fine up to RM50,000
  • Centralised accommodation provider: Fine up to RM50,000 or imprisonment up to 1 year, or both

Compliance with Minimum Standards

Accommodation must comply with minimum standards including:

  • Minimum sanitary requirements
  • Adequate water supply and electricity
  • Maximum rental charges (as regulated)
  • Employer not allowed to charge rent beyond regulated limits

Accommodation cannot be used if it is unfit for human habitation.
Penalty for non-compliance: Fine up to RM50,000.

Employer Duties

Employers must:

  • Provide separate accommodation for opposite genders
  • Ensure employee safety and well-being
  • Implement fire safety measures
  • Ensure electrical systems comply with safety laws
  • Provide necessary medical assistance
  • Take preventive measures against infectious diseases

Person in Charge (PIC)

Employers must appoint at least one Person in Charge (PIC) to manage accommodation.

PIC responsibilities include:

  • Ensuring compliance with disciplinary rules
  • Inspecting accommodation at least twice monthly
  • Keeping inspection records
  • Assisting employees requiring medical attention

Notification Requirement

Employer must notify the Director General within 30 days after accommodation is occupied.

Penalty for non-compliance: Fine up to RM10,000.

Resignation of Staff & Vacating Accommodation

  • Notice of 4 weeks or more: Employee must vacate accommodation upon effective resignation or termination date.
  • Less than 4 weeks notice / immediate termination: Employee must vacate within 4 weeks from notice date.

This Act will come into effect on a date to be appointed by the Minister via Gazette notification.

If you require further information on the above matter or our services, please contact us at:
📞 03-4142 2020 or 012-213 0138

Disclaimer: This newsletter contains information in summary form for general information only and should not be acted upon without appropriate professional advice.



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