Our unique insights into law and business.

The article explains that under Malaysian law, employers must ensure both substantive and procedural fairness when dealing with employee misconduct, with the Domestic Inquiry (DI) serving as a key safeguard. It outlines how a proper DI should be conducte - from issuing a show-cause letter to allowing the employee to be heard before any disciplinary action - and cautions that failure to follow due process can render a dismissal unlawful even if misconduct is proven.

Foreign investors entering Malaysia often consider joint ventures as a market entry strategy. The two main models – equity JVs (via a company) and contractual JVs (via agreement) – offer different advantages and risks. Equity JVs provide limited liability, access to licences, and easier financing, while contractual JVs offer flexibility and speed for project-based collaborations. Using a European multinational’s ESG-focused EPC project as a case study, this article highlights key considerations such as liability, governance, taxation and exit strategies. The right JV structure depends on the investor’s sector, goals and risk appetite – and should be carefully assessed at the outset.

2026 will be a critical year for Malaysian exporters into the EU. Five major regulations – CBAM, EUDR, PPWR, ESPR and CSRD – will take effect almost simultaneously, each demanding different supply-chain data from carbon emissions to plot-level geolocation, packaging recyclability and product passports. The challenge is not one rule in isolation, but the integration of overlapping requirements across the same supply chain. Companies that prepare early by building centralised compliance and data systems will safeguard EU market access – those that delay risk exclusion.

Bain & Company’s Visionary CEO’s Guide to Sustainability 2025 highlights how global business leaders are moving from lofty promises to pragmatic, verifiable action. For Malaysian companies, the lessons are urgent as the European Union rolls out sweeping ESG regulations – including the Deforestation Regulation (EUDR), Carbon Border Adjustment Mechanism (CBAM), Corporate Sustainability Due Diligence Directive (CSDDD), and Packaging and Packaging Waste Regulation (PPWR). These rules make sustainability both a legal and commercial requirement for exporters seeking EU market access. The article distils Bain’s insights into four key lessons for Malaysia: bridge the “do-say gap” with proof, turn sustainability into business value, build robust rather than fragile supply chains, and tackle Scope 3 emissions through supplier engagement. The message is clear – compliance is no longer optional. Malaysian businesses that act now will safeguard their EU market presence and gain a competitive edge, while those that delay risk exclusion.