Worker Housing Compliance Is More Than Just a Box to Tick

What Act 446 means for your workforce—and your business.
When it comes to worker housing, compliance isn’t just about following the law. It’s about protecting your operations, your people, and your reputation.

Malaysia’s Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446) requires employers to provide accommodation that meets specific health, safety, and hygiene standards. Since its expansion in 2020, this legislation applies to all sectors with five or more employees and enforcement has only tightened since.

What does non-compliance really cost you?

• Compounds and fines of up to RM50,000 per offence
• Delays or issues during JTKSM or Labour Department inspections
• Disqualification from government tenders and certain industry schemes
• Damage to brand reputation or worker trust

At Osadi, we’ve seen how these risks play out on the ground and how avoidable they can be with the right systems in place.

That’s why we developed our Accommodation & Living Managed Services, built around full compliance with Act 446. Our approach covers every critical aspect:

• Licensed and inspected premises, aligned with local authority standards
• Digital inventory and occupancy tracking for transparent records
• Routine inspections and continuous facility maintenance
• Community support and orientation, so workers settle in safely and confidently

Beyond legal requirements, compliant housing also reduces absenteeism, improves worker morale, and boosts overall workforce stability.

Think beyond the bare minimum.
If your housing arrangements haven’t been reviewed in the past year, or if you’re scaling operations and unsure how to accommodate incoming workers, now is the time to act.

We’re here to help you meet the letter of the law and the spirit of responsible employment.

Prepared by Ken Wooi
Business Development Team
bdteam@osadi.com.my