What is Section 29A of the OSH (Amendment) Act 2022?

Section 29A mandates that every employer with 5 or more workers must appoint a trained Occupational Safety and Health Coordinator (OSH-C). Non-compliance is punishable by a fine of up to RM50,000, imprisonment of up to six months, or both.

When did the OSH (Amendment) Act 2022 come into force?

The Act officially came into full force on 1 June 2024, repealing the Factories and Machinery Act 1967.

What is the maximum penalty for OSH Act non-compliance in Malaysia?

Under the amended Act, corporate fines for general employer duty violations have increased from RM50,000 to RM500,000. Directors and officers also face personal criminal liability.

Is HIRARC mandatory under the OSH (Amendment) Act 2022?

Yes. Hazard Identification, Risk Assessment, and Risk Control (HIRARC) is now an explicitly mandatory legal requirement, not merely a best practice.

Do small offices need an OSH Coordinator?

Yes. The 5-worker rule applies to all workplaces, including SMEs, retail outlets, tech startups, and small offices — not just factories and construction sites.

Can employees refuse unsafe work under Malaysian law?

Yes. The amendment formalizes the statutory right to refuse imminent danger without fear of retaliation, termination, or docked pay.

Are principals liable for contractor injuries?

Yes. The Act places explicit duties on principals to ensure the safety of subcontractor employees working on their premises.

How long does OSH-C training take?

Standard OSH-C competency training is 2–3 days. Contact a competency training provider for on-site delivery options and scheduling.

10 Things Every Malaysian Employer Must Know About the OSH (Amendment) Act 2022

Section 29A and the mandatory OSH Coordinator, increased penalties up to RM500,000 for general duty breaches, director criminal liability, and the statutory shifts that changed Malaysian workplace safety forever.

The regulatory landscape for business owners in Malaysia changed permanently when the Occupational Safety and Health (Amendment) Act 2022 (OSHA 2022) officially came into full force on 1 June 2024. Signed into effect by the Ministry of Human Resources, this amendment marks the most radical overhaul of Malaysian workplace safety laws in three decades.

If you are a director, HR manager, or business owner operating in Malaysia, a passive approach to safety is no longer just a liability — it is a direct path to severe financial penalties and potential jail time. The old protections of the Factories and Machinery Act 1967 (FMA) are gone, replaced by a comprehensive framework that leaves zero room for non-compliance.

Here are the 10 critical statutory shifts every Malaysian employer must understand to protect their business and their people.

1. The Scope Now Applies to 100% of All Malaysian Workplaces

Under the old framework, safety laws primarily targeted heavy industries like manufacturing, construction, and mining. The amended Act broadens the scope completely.

The law now applies to all places of work throughout Malaysia, including the service sector, retail, tech startups, statutory authorities, public services, and even remote work corporate setups. If you employ people in Malaysia, you are legally bound by this Act.

2. The "5-Worker Rule" Mandates a New Corporate Appointment

The most misunderstood trigger in the market is the threshold for mandatory safety personnel. Under the new Section 29A, if your company employs five or more employees, you are statutorily required to appoint a dedicated Occupational Safety and Health Coordinator (OSH Coordinator).

This means that small and medium enterprises (SMEs), small offices, and boutique agencies that previously flew under the regulatory radar are now fully required to have an in-house OSH-C.

3. OSH Coordinators Must Be Professionally Trained

You cannot simply assign the OSH Coordinator title to an HR executive without proper training. The law specifies that the appointed individual must undergo specific competency training that meets Department of Occupational Safety and Health (DOSH / JKKP) requirements.

Failing to appoint a competent OSH Coordinator leaves your organization open to non-compliance citations during a routine labour or safety inspection.

4. Maximum Corporate Fines Increased Tenfold

The cost of ignoring workplace safety has drastically increased. Under the previous Act, the maximum fine for general employer duty violations was RM50,000.

Under the amended framework, corporate fines have jumped to a maximum of RM500,000. A single systemic safety failure or lack of documentation can now result in a business-ending financial penalty.

— Section 29A and related penalty provisions, OSH (Amendment) Act 2022 (Act 514)

5. Directors and Officers Face Direct Criminal Liability

One of the most significant changes in the update is the introduction of personal accountability. If a company commits an offense under the Act, the directors, CEOs, managers, and corporate officers can be held personally liable alongside the business entity.

If a serious workplace injury occurs and negligence is proven, executives face individual fines, criminal records, and imprisonment terms.

6. Risk Assessments (HIRARC) Are Now Explicitly Mandatory

Hazard Identification, Risk Assessment, and Risk Control (HIRARC) is no longer just a recommended best practice; it is a mandatory legal requirement under the new text.

Employers must conduct documented risk assessments for all operational processes. Failing to produce updated HIRARC documentation during a DOSH inspection constitutes a direct violation of employer duties.

7. Explicit Protection for the "Right to Refuse Unsafe Work"

The amendment strengthens employee protections by formalizing their right to remove themselves from an immediate danger zone. If an employee reasonably believes that a work task poses an imminent risk to their safety or health, they have the statutory right to refuse to perform that task without fear of corporate retaliation, termination, or docked pay.

Employers must establish clear protocols to receive, assess, and rectify these internal safety reports immediately.

8. The Repeal of the Factories and Machinery Act 1967 (FMA)

To streamline enforcement, the old FMA 1967 has been officially repealed and integrated into the single, unified framework of the amended Act.

All regulatory matters concerning industrial machinery, certificates of fitness (CF), and factory designs are now managed under modern subsidiary regulations under the DOSH framework.

9. Stricter Statutory Duties Mandated for "Principals"

If your business utilizes sub-contractors, freelancers, or third-party service providers, you cannot contract away your safety liabilities.

The amended Act places explicit duties on "Principals" to ensure the safety and health of everyone working under their broader corporate umbrella. If a contractor's employee gets injured on your premises, your business can be held legally responsible for failing to audit the contractor's safety protocols.

10. You Must Establish Clear Written Emergency Procedures

Every employer must develop, document, and actively implement clear, step-by-step procedures for dealing with emergencies at the workplace. This goes beyond having a basic fire extinguisher on the wall.

Your emergency procedures must account for medical crises, industrial accidents, and sudden structural failures, and they must be actively communicated to all staff members through training drills.