Since Malaysia capped normal working hours at 45 a week, employers run one of two schedules — a 7.5-hour, 6-day week, or an 8-hour weekday with a 5-hour Saturday. Either way, overtime is still based on ORP and HRP, and the schedule you run changes the HRP figure.
ORP (Ordinary Rate of Pay) = Monthly Salary ÷ 26HRP (Hourly Rate of Pay) = ORP ÷ normal daily working hours
Example: RM3,000 ÷ 26 = RM115.38 ORP.
Overtime Rate Table: Monthly-Paid Employees
| Hours Worked | Normal Day | Rest Day | Public Holiday |
|---|---|---|---|
| First half of normal hours | Normal rate | ORP × 0.5 | ORP × 2.0 |
| Second half of normal hours | Normal rate | ORP × 1.0 | |
| Beyond a full normal day | HRP × 1.5 | HRP × 2.0 | HRP × 3.0 |
Overtime Rate Table: Daily-Paid Employees
| Hours Worked | Normal Day | Rest Day | Public Holiday |
|---|---|---|---|
| First half of normal hours | Normal rate | ORP × 1.0 | ORP × 2.0 |
| Second half of normal hours | Normal rate | ORP × 2.0 | |
| Beyond a full normal day | HRP × 1.5 | HRP × 2.0 | HRP × 3.0 |
Daily-paid staff get a higher rest-day multiplier (1.0×/2.0× vs. 0.5×/1.0× for monthly staff) since, unlike monthly employees, they aren’t already drawing a salary for that rest day.
Two Common 45-Hour Schedules
For a RM3,000 monthly salary (ORP = RM115.38):
Same ORP, different HRP — RM15.38 vs RM14.42. That difference multiplies across every overtime, rest day, and public holiday hour, so know which schedule your company runs before calculating anything.
Why First Half vs Second Half Matters on a Rest Day
Rest-day pay scales in two steps before true overtime kicks in: called in for up to half the normal hours, a monthly employee is paid 0.5× ORP; more than half but not a full day, 1.0× ORP. Only hours beyond a full normal day are true overtime, at 1.5–3.0× HRP depending on the day type.
Frequently Asked Questions
What is the Ordinary Rate of Pay (ORP)?
ORP is one day’s salary, calculated as Monthly Salary ÷ 26. It’s the base figure used for rest day pay, public holiday pay, and the Hourly Rate of Pay (HRP).
How do I calculate HRP under a 45-hour workweek?
HRP = ORP ÷ the hours that count as your company’s normal working day. Every day shortened to 7.5 hours? Divide by 7.5. Only Saturday shortened? Divide by 8.
Is public holiday overtime the same rate regardless of work schedule?
Yes — not less than 3 times HRP for both monthly and daily paid employees, whatever the underlying work-hour arrangement.
