Can You Start a New Job While on Annual Leave in Malaysia?

Published: December 03, 2025, 9:30 AM

Here are some key points:

✅ Annual leave during notice – Taking annual leave while serving notice is not automatic. Your employer must approve it, and they have the right to reject the request. If rejected, you will generally receive payment in lieu of any unused leave.

✅ Garden leave – If you are placed on garden leave, you will remain on the company’s payroll but are not allowed to perform any work or join another employer until your official end date.

✅ Dual employment – While not strictly illegal in Malaysia, many employment contracts include clauses that restrict moonlighting. Violating these terms could be considered misconduct.

✅ Non-compete clauses – Post-employment non-compete restrictions are generally void under the Contracts Act 1950. However, while you are still employed, you are bound by confidentiality and loyalty obligations.

👉 So, can you start your new role early?

Only if your contract explicitly allows it, you have written consent from your current employer, you are not on garden leave, and you avoid any use of confidential information or unfair competition.

Leaving on professional terms not only safeguards your reputation but also preserves positive relationships and future opportunities.

#AnnualLeave #EmploymentLaw #EmploymentContract #Legal #Employment