Document background
The Retroactive Employment Contract is utilized in situations where formal documentation of an existing employment relationship needs to be established after the fact. This commonly occurs during corporate restructuring, after mergers and acquisitions, when regularizing informal employment arrangements, or when updating employment terms to comply with current legislation. Under Malaysian law, particularly the Employment Act 1955 and Contracts Act 1950, this document serves to formally recognize and validate the historical employment relationship while ensuring all statutory obligations, including EPF and SOCSO contributions, are properly documented. The contract includes comprehensive details about historical employment terms, salary adjustments, accumulated benefits, and leaves, while also establishing current employment conditions. It's particularly crucial for ensuring legal compliance, protecting both employer and employee rights, and providing clear documentation for administrative and regulatory purposes.
