Can My Boss Reject My Resignation?

What Malaysian Employment Law says about resignation and whether your employer can refuse it.

By Aqilah Naqlis on 2023-11-27 at 7:11 AM

Updated on 2025-03-13 at 7:09 AM

Thinking of resigning from your current role to pursue new opportunities? While resigning can feel daunting, one question often arises: can your boss reject your resignation?

Let’s clear the air by looking at what Malaysian Employment Law says and how to ensure your resignation process goes smoothly.

What Malaysian Employment Law says

If you are covered by the Employment Act 1955, Section 12 states:

“Either party to a contract of service may at any time give to the other party notice of his intention to terminate such contract of service.”

In simple terms, this means that both employees and employers have the right to terminate the employment contract at any time, provided proper notice is given.

Therefore, your employer does not have the legal authority to reject your resignation. Approval isn’t required, as long as you comply with the terms of your contract and serve your notice period.

Related read: Employees who resign without notice

Check your employment contract

While Malaysian law protects your right to resign, your employment contract outlines the specific terms and conditions for resignation. Here’s what to pay close attention to:

Notice Period
Most employment contracts specify a notice period that you’re required to serve before your resignation takes effect. For example, you may need to serve one to three months’ notice depending on your role and seniority.

Termination Conditions
Check for any conditions related to termination, such as bonded periods or obligations to reimburse training costs if you leave before a certain time.

Post-Employment Restrictions
Some contracts may include post-termination clauses, such as non-compete agreements or confidentiality obligations, which you should adhere to even after leaving the company.

By fulfilling these contractual requirements, your resignation will take effect regardless of whether your employer “accepts” it.

What If You Can’t Serve Your Notice Period?

If serving your full notice period isn’t possible, there are alternatives:

Payment in Lieu of Notice/Buyout Clause
Many contracts allow you to compensate the company financially instead of serving the full notice period. This amount is usually equivalent to the salary you would have earned during that time.

Offsetting with Annual Leave
You may request to use your remaining annual leave to reduce the number of days you need to work during your notice period.

Waiving the Notice Period
In some cases, employers may waive your notice period entirely, allowing you to leave immediately. However, this requires their agreement, so be upfront and clear about your reasons for an early release.

Pro Tip: Discuss your situation with your employer and assure them of a smooth handover to increase your chances of a favorable agreement.

Can My Employer Terminate Me Without Warning?

Just as your resignation must follow proper procedure, employers must also comply with legal and contractual obligations if they wish to terminate your employment. Employers cannot dismiss employees arbitrarily without valid reasons or proper notice.

Related read: How to Shorten Your Notice Period

Key Takeaways

Your boss cannot legally reject your resignation.
As long as you comply with your contract’s terms and serve your notice period, your resignation is valid.

Always check your employment contract before resigning.
It’s essential to understand your notice period, termination conditions, and any post-employment obligations.

Explore options if you need an early release.
Payment in lieu of notice or using annual leave are common ways to negotiate a shorter notice period.

Resigning doesn’t have to be complicated if you’re prepared and communicate effectively with your employer.

Disclaimer: This post is for general informational purposes only and is not intended to be legal advice. Thank you to the team at Donovan & Ho for providing and verifying these facts.

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