Sunday, August 14, 2011

Job Contract - I must pay 2 months' salary if I resign


Job Contract - I must pay 2 months' salary if I resign?
I have a job at a company in Kuala Lumpur, Malaysia. When I got the job, the boss just called me in for an interview and told me that the big boss had agreed to hire me and that I would start work on the 2nd of January. I didn't see any contract. When I started, I didn't see a contract either. I worked for 2 months and never saw a contract. I only saw the contract when I needed it for Immigration. I signed it quickly as I needed to get to the Immigration Office. I only read through it properly later. I discovered the following clause: "The minimum length of contract for 1 year effective ____________. If you resign before the expiry of the contract, there will be a compensation of two (2) months OR MORE of your salary to the company." (Emphasis mine) Has anyone heard of this before? Do companies in Malaysia or anywhere do this? Is this a legal requirement which would stand up in court? My wife wants to go back to New Zealand (where I'm from) for work. I want to go with her. So is there any way to get out of this contract without having to pay RM4000 (which I don't have) to the company? The previous receptionist was able to leave without paying for "personal problems" back home in China. Would I have a legal defence? I did not know about the "compensation" when I joined the company. I was told nothing about this and I wasn't shown a contract when I signed on. Can they do this? Any help here would be good.
Law & Legal - 3 Answers
Random Answers, Critics, Comments, Opinions :
1 :
if they signed it then i think they can do this.
2 :
You sign it, it's legal.
3 :
Ignore it as it is not really an agreed agreement. The acceptance / recipient (you) must be made fully understand and aware before entering any agreement . Each clauses must be fully explained From your questions , neither was done If i were you and will leave this country for good , i will take the pay check by end of the month and leave the country the very next day. The company tied such clause in order to recoup their EPF , Insurance and their work permit agent . But most employee do not realise that those fees are already deducted from their salary . This explains as to why foreigners are getting low pay and raw deals. Hopefully they ( the company) are not in possesion of your passport. Pardon my language as i will say Screw them.