Cover image via National Day
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Monday, 15 September, has been declared an additional public holiday in conjunction with Malaysia Day, which falls on 16 September.
This gives Malaysians a four-day weekend.
The announcement by Prime Minister Datuk Seri Anwar Ibrahim on 23 July.
Employers are required to comply with the holiday under Section 60D(1) of the Employment Act 1955 for Peninsular Malaysia and Labuan, the Sabah Labour Ordinance (Chapter 67), the Sarawak Labour Ordinance (Chapter 76), and the Holidays Act 1951, according to Human Resources Minister Steven Sim.
Sim said employers can either observe the holiday and pay regular salaries, instruct employees to work and pay public holiday rates, or provide a replacement holiday on another day.
The Labour Department is available to provide advisory services to employers and employees regarding the implementation of the additional public holiday.
However, employers' groups have raised concerns over the economic impact of ad hoc public holidays
The Malaysian Employers Federation (MEF) warned that unscheduled holidays can disrupt production schedules, logistics, and service continuity, potentially reducing overall productivity and increasing wage costs.
Preliminary estimates suggest that each additional holiday could cost Malaysian employers over RM1 billion collectively, according to a report in FMT.
The Small and Medium Enterprises Association (SAMENTA) also said that short-notice public holidays can disrupt SMEs through lost productivity, overtime payments, and delivery delays, urging the government to conduct impact assessments before declaring such holidays.
