Log off or lose out? Malaysia weighs right to disconnect

Can businesses protect wellbeing without hurting competitiveness?
As conversations grow louder across the globe about employees’ right to disconnect, Malaysia’s business community is treading carefully, balancing worker wellbeing with the operational demands of a fast-moving economy.
The Malaysian Employers Federation (MEF) has stepped into the debate, calling for nuance rather than blanket legislation. At the heart of the issue lies a question that resonates with HR leaders and business owners alike: can companies uphold employee wellbeing without compromising agility and competitiveness?
Culture over compulsion
MEF president Syed Hussain Syed Husman believes the answer lies not in rewriting laws, but in reshaping workplace culture. “While the Employment Act 1955 outlines clear parameters for working hours and overtime, it does not specifically address after-hours digital communication, especially with the rise of remote and flexible work arrangements,” he noted.
Syed Hussain urged employers to foster a culture that respects personal time while still making room for genuine urgency. “Employers should cultivate a workplace culture that respects personal time, while also ensuring continuity in urgent situations,” he said, advocating for internal policies over legal amendments.
One size doesn’t fit all
While the idea of a statutory “right to disconnect” has gained momentum in Europe and parts of Asia, MEF argues that Malaysia’s diverse economic landscape makes a universal law impractical. Industries ranging from customer service to crisis management and international operations often require after-hours responsiveness.
A catch-all policy could, Syed Hussain warned, do more harm than good:
Such amendments would disrupt operational flexibility, particularly for sectors with global clients, 24/7 operations or critical response needs.”
He added that rigid rules might strain international relationships, cause delays in real-time coordination, and ultimately dent Malaysia’s global competitiveness.
Flexibility breeds sustainability
Rather than impose new legislation, MEF champions a tailored, internal approach. This includes clear company guidelines that distinguish between urgent and non-urgent matters, the use of scheduling tools to delay non-essential emails, and fostering a shared understanding between employers and employees.
According to Syed Hussain, “The goal should be to promote well-being and productivity, not bureaucracy and disruption.” He emphasised that organisations should take ownership of the issue, incorporating digital wellness into their culture and providing training for managers on respectful communication habits.
Avoiding burnout without losing business
While the MEF stands firm against amending the Employment Act 1955 to regulate after-hours contact, it acknowledges the toll of unchecked digital intrusion. Employers are increasingly aware that constant connectivity can lead to burnout, low morale and declining productivity – a triple threat to any organisation’s long-term performance.
The MEF’s stance doesn’t dismiss these risks but calls for a smarter solution. “We’re open to collaborating with the Human Resources Ministry, Malaysian Trade Union Congress and other stakeholders to develop sector-specific guidelines that ensure operational needs are met,” Syed Hussain said.
This collaborative spirit reflects a wider recognition that employee wellbeing is not to be taken lightly.
Challenges of compliance
Implementing a right to disconnect law would not be without complications. MEF outlined several practical hurdles, particularly for small and medium enterprises, which may lack the resources to overhaul employment contracts or invest in monitoring systems.
For sectors such as health care, logistics, IT and finance – where the work doesn’t stop at 5 p.m. – operational flexibility is not a luxury but a lifeline. MEF highlighted the mismatch between rigid rules and the nature of some job roles, such as senior executives or sales teams, who often need to stay connected outside traditional hours.
There’s also the grey area of what counts as “work-related communication,” which could open the floodgates to disputes and ambiguity.
A people-first policy, not a productivity tax
Despite its resistance to legal reform, MEF believes the wellbeing of employees must not be sidelined. But it must be achieved in a way that respects the unique demands of different industries.
“The workforce is our greatest asset,” Syed Hussain said. “By fostering respect, flexibility, and clear communication, we can create a sustainable work culture.”
At a time when the line between work and life is increasingly blurred, MEF’s call for pragmatism offers a middle path – one where business goals and human needs don’t pull in opposite directions, but run side by side.
As Malaysian businesses navigate this changing tide, the right to disconnect may not come from a clause in the law, but from a culture that values both performance and pause.