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EMPLOYEE RIGHTS – DEDICATED STAFF IN MALAYSIA

1. WORKING HOURS
   1. The Dedicated Staff work for nine (9) hours a day (inclusive of meal breaks), five (5) days a week.
   2. Hours work include all time during which the Dedicated Staff are required to be on duty or to be at a prescribed workplace. Outsourced, as part of its policy, adheres to a fifteen (15) minute grace period at the beginning of their shift. During that grace period, the Dedicated Staff would not be considered tardy. Tardiness shall be counted upon the lapse of the grace period.
2. MEAL BREAK
   1. The Dedicated Staff are given a one (1) hour meal break per day, and two (2) short fifteen (15) minute breaks.
   2. The one (1) hour meal break shall not be deemed compensable, while the two (2) short fifteen minute breaks are deemed compensable under Malaysian Labor Laws.
3. HOLIDAYS
   1. Dedicated Staff are entitled to take standard Malaysian holidays as provided under https://outsourced.co/malaysia/public-holidays/ .This includes all other national or city holidays that may be declared by the Malaysian Government.
   2. The Malaysian Government may announce unplanned and/or movable holidays. The Client will be notified at least seven (7) days in advance upon declaration of the Malaysian Government.
   3. If the Client requires the Dedicated Staff to report for work on a holiday, the Client shall be invoiced the corresponding premium pay.
   4. If the Client does not require the Dedicated Staff to report for work on a holiday, the same shall still be invoiced as a worked day in compliance with Malaysian Labor Laws.
   5. The holiday schedule of the Client’s country shall not be considered in determining whether Dedicated Staff should work or not.
4. LEAVES
   1. Company policy leaves
      1. Standard Leave Policy

         The following leave entitlements shall be given to the Dedicated Staff:

         Years of Service	Vacation Leave Entitlement	Sick Leave entitlement (per calendar year)
         Less than 2 years of service	8 days per year	14 days
         2 to 5 years	12 days per year	18 days
         More than 5 years	16 days per year	22 days

         1. The paid leaves are in addition to the holidays provided under Clause 3 of this Schedule.
         2. These company leaves are considered as paid leaves which are invoiced to the client annually at the day rate should these leaves be unused, which shall likewise be applicable for Dedicated Staff who leave at the middle of the year.
      2. Policy on Mandatory Time Off. Mandatory time off or forced leaves due to non-operating business days and/or holidays of the client, or any analogous causes, or upon request of the client, shall not be applicable to Outsourced and the dedicated staff.
      3. Leave Cash Conversion
      4. Outsourced provides its Dedicated Staff with a standard policy on unused earned leave conversion to cash yearly for a maximum of five (5) vacation days. In the event that the Dedicated Staff opts to convert said unused earned leaves to cash, the Client is invoiced on an annual basis within the first quarter of the calendar year.
      5. However, if the Client opts to have its Dedicated Staff exhaust all of their leave days within the year instead of converting unused leave to cash, this shall be communicated to Outsourced in writing prior to the placement of the Dedicated Staff.
      6. Once the Client has chosen the preferred leave policy, it will remain in effect for the duration of the Contract, unless otherwise modified, revised, amended or agreed to in writing by both parties.
   2. Statutory leaves

      The following leaves may be availed by the Dedicated Staff based on the foregoing circumstances:

      1. Marital Leave
      1. Dedicated Staff is entitled to three (3) days marital leave should they get married.
      2. Bereavement Leave
      1. Should a Dedicated Staff’s parent, parent-in-law, spouse, or children pass, the Dedicated Staff is entitled to three (3) days bereavement leave.
      3. Maternity leave
      1. Malaysian labor laws provide that any women Dedicated Staff who has worked for more than 90 days of employment and falls pregnant are entitled to a total of ninety eight (98) calendar days of maternity leave. The maternity leave shall not commence earlier than a period of thirty (30) days immediately preceding the confinement of the Dedicated Staff.
      2. The Dedicated Staff shall remain assigned to the Client during her maternity leave and shall not be dismissed or her services terminated during this period.
      3. Any fees in relation to the maternity leave taken by the Dedicated Staff is shouldered by Outsourced or the Client based on the Dedicated Staff’s tenure:
      1. First Six (6) months – Outsourced shall cover;
      2. Between Six (6) months and One (1) day to Twenty Fourth (24th) month – Outsourced and the Client shall cover the payment equally (50/50 basis); and
      3. Beyond Twenty Four (24) months – The Client shall cover.
      4. Paternity leave
      1. A seven (7) day paternity leave may be availed by a Dedicated Staff for each confinement. A maximum of five (5) confinements is allowed for a Dedicated Staff, irrespective of the number of spouses.
5. PREMIUM PAY

   Outsourced invoices the Client the corresponding rates should the Dedicated Staff be required to work under the following circumstances:

   1. Work on a holiday or a Sunday, or a rest day
   1. Dedicated Staff shall be paid 100% of their pay during a holiday, if unworked.
   2. Dedicated Staff shall be paid 200% of their pay should they work on a public holiday.
   3. The Dedicated Staff shall be paid 200% of their pay if required to work on their rest day.
   2. Overtime work
   1. Overtime work rates apply if the Dedicated Staff performs work or services above the part-time or full-time hours agreed upon, which shall be invoiced at 150% for each hour of overtime worked.
   2. Should overtime work be performed on a holiday the Client will be invoiced at 300% for each hour of overtime worked during a holiday or Dedicated Staff’s paid leave.
   3. Overtime shall only be performed following a written request and approval from the client.
   3. Night Shift differential
   1. Night shift differential rates apply for work or services performed during the night time in Malaysia. Night shift differential applies for any work performed between 10:00 PM and 6:00 AM, Malaysian time.
   2. Night shift differential is invoiced 130% for hours falling within the night shift hours.
   4. Work on a rest day
   1. Dedicated Staff are entitled to two (2) rest days per week. Any work performed during the Dedicated Staff’s rest day shall be invoiced 200% of the standard charge out rate per day.
6. SECURITY OF TENURE
   1. The Dedicated Staff are entitled to security of tenure and may only be dismissed with just and valid cause and observance of due process.
   2. Outsourced properly observes due process, through the assistance of the Client in the following manner:
   1. Report on the performance, behavior, or action of the Dedicated Staff to be forwarded to Outsourced;
   2. The report shall contain a brief and concise narration of the incident which brought about the report, together with documentary proof;
   3. Outsourced, through its Human Resources Department (HR), shall issue the necessary Notice to Explain to the Dedicated Staff, giving the staff an opportunity to explain themselves.
   1. In case of performance issues, the Dedicated Staff shall also be placed under Performance Improvement Plan (PIP) for not more than thirty (30) calendar days.
   2. The Dedicated Staff placed under PIP shall be given an opportunity to improve their performance based on parameters and/or guidelines provided by the Client.
   3. Prior to the expiration of the PIP, Outsourced shall request feedback from the Client in relation to the Dedicated Staff’s performance.
   4. Should the Dedicated Staff improve their performance, the Dedicated Staff shall remain assigned to the Client.
   5. In case the Dedicated Staff fail to reach the parameters, or worsen their performance, the Dedicated Staff’s services shall be terminated.
   4. Upon submission of the written explanation, the HR shall assess the Client’s report and the Dedicated Staff’s explanation and render a decision whether or not to impose disciplinary action or dismissal of employment of the Dedicated Staff.
   3. Redundancy / Retrenchment
   1. Redundancy / Retrenchment exists where the services of an employee are in excess of what is reasonably demanded by the actual requirements of the enterprise. In the case of this Agreement, since the Dedicated Staff are engaged by Outsourced due to the Client’s requirements or specifications, any termination of this Agreement shall be categorized as redundancy / retrenchment.
   2. In case of redundancy / retrenchment, the Client is required to provide written notice to Outsourced sixty (60) calendar days prior to the intended termination thereof, and the terms under Clause 11.3, 11.4, and 11.6 hereof shall apply as necessary.
   3. The staff shall be paid redundancy pay equivalent to one month pay for every year of service started, i.e., less than 1 year service (1 month redundancy pay), 1 year to 2 years (2 month redundancy pay), and so forth.
   4. Resignation
   1. The Dedicated Staff may file their resignation / notice of termination. In cases where the Dedicated Staff files their resignation, the Dedicated Staff shall render forty five (45) days notice prior to their intended date of resignation.