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End Of Service Agreement Template for Malaysia

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Key Requirements PROMPT example:

End Of Service Agreement

"I need an End of Service Agreement for our Chief Technology Officer who is voluntarily resigning effective March 15, 2025, including provisions for handover of ongoing projects and treatment of unvested stock options."

Document background
The End of Service Agreement is a crucial document used in Malaysia when formally concluding an employment relationship, whether through retirement, resignation, mutual separation, or termination. It comprehensively addresses all aspects of employment separation, including statutory requirements under Malaysian law such as final payments, EPF settlements, and benefit calculations. This agreement is essential for protecting both employer and employee interests by clearly documenting the terms of separation, preventing future disputes, and ensuring compliance with local employment regulations. The document typically includes provisions for final settlements, continuing obligations, confidentiality requirements, and mutual releases, while accommodating specific industry requirements and position-specific terms.
Suggested Sections

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Brief history of employment relationship, reason for termination, and purpose of the agreement

3. Definitions: Key terms used throughout the agreement defined for clarity

4. Effective Date of Termination: Clear statement of when employment relationship ends

5. Final Payment and Benefits: Details of salary, allowances, and statutory payments due

6. EPF and Social Security Settlements: Arrangements for final contributions and settlements of mandatory benefits

7. Company Property: Requirements for return of company assets and documents

8. Confidentiality Obligations: Ongoing duties regarding confidential information

9. Full and Final Settlement: Mutual release of claims and acknowledgment of settlement

10. Governing Law: Specification of Malaysian law as governing law

11. Execution: Signature blocks and execution formalities

Optional Sections

1. Non-Compete Clause: Restrictions on future employment - use for senior positions or when dealing with sensitive information

2. Non-Solicitation: Restrictions on approaching company clients or employees - relevant for client-facing roles

3. Post-Employment References: Agreement on how future employment references will be handled

4. Continuing Medical Benefits: Extended medical coverage terms if applicable

5. Share Options/Long-Term Incentives: Treatment of outstanding share options or long-term incentives - for employees with such benefits

6. Legal Fees: Agreement on payment of legal fees for document preparation - typically for senior executives

7. Tax Indemnity: Tax-related provisions and indemnities - for complex compensation packages

8. Retirement Benefits: Special provisions for retirement cases

9. Outplacement Support: Terms of any career transition support - typically for redundancy situations

Suggested Schedules

1. Schedule 1 - Payment Calculation: Detailed breakdown of final payment including salary, notice pay, and statutory benefits

2. Schedule 2 - Company Property Inventory: List of company assets to be returned

3. Schedule 3 - Outstanding Benefits: Details of any pro-rated bonuses, leave encashment, or other benefits

4. Schedule 4 - Confidential Information: Specific list of confidential information and materials covered

5. Appendix A - Statutory Declaration: Standard form statutory declaration if required by local law

6. Appendix B - Release Form: Detailed release of claims form

7. Appendix C - Benefits Continuation Schedule: Timeline and details of any continuing benefits post-termination

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions






























Clauses




























Relevant Industries

Manufacturing

Financial Services

Technology

Healthcare

Retail

Professional Services

Education

Telecommunications

Construction

Energy

Hospitality

Transportation and Logistics

Agriculture

Mining and Resources

Real Estate

Relevant Teams

Human Resources

Legal

Finance

Operations

Administration

Information Technology

Sales

Marketing

Research and Development

Production

Quality Assurance

Customer Service

Procurement

Logistics

Corporate Affairs

Relevant Roles

Chief Executive Officer

Managing Director

General Manager

Department Head

Senior Manager

Manager

Executive

Officer

Supervisor

Administrator

Specialist

Analyst

Engineer

Sales Representative

Technical Support Staff

Operations Staff

Clerical Staff

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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