Employee Dismissal Procedure In Malaysia
ORGANIZATION, EMPLOYEE AND
COMMUNITY RELATIONS
EMPLOYEE’S DISMISSAL PROCEDURE IN MALAYSIA:
AN OVERVIEW
TABLE OF CONTENTS
Items
1. Introduction
2. Definition Of Employee 's Dismissal
3. Misconduct And Types Of Misconduct
4. Malaysia 's Law Covering Employee 's Dismissal
5. Dismissal Procedures
6. Protection Against Wrongful Dismissal
7. Statistic of Dismissal Case In Malaysia
8. Court Cases Involving Employees Dismissal
References
2
INTRODUCTION
Dismissal is one of the important aspects when discussing relationship between an organization and its employee and part of employment relationships. Dismissal itself is considered as the last choice of punishment by the employer to terminate the contract of employment with the employer. Dismissal is the severest punishment which can be awarded since it will create unneeded outcome whether to an organization or the affected employee. In some cases, the dismissal decision itself has been challenged back by the employee and brought to the court to be heard.
Realizing the unneeded effect of dismissal against the organization, some executives and managers try to avoid making that decision by using alternative approaches when dealing with
„problematic‟ employee like transfer the employee to another supervision or department, promote the employee to another area and in some cases arrange the employees to resign on their own accord.
Malaysia‟s Employment Act 1955 has clearly stated that the right to terminate and dismiss employee is a management prerogative, yet dismissal as a matter of fact is one of the most difficult task for any executive or manager. As a matter of fact employee in this country can only be terminated due to valid and justified reasons of disciplinary cases or misconduct and poor work performance.
Definition of Employee
There are two acts specifically deal with employment relation in Malaysia, The Employment Act
(EA) 1955 and Industrial Relation Act (IRA) 1967. Both acts define what the term
COMMUNITY RELATIONS
EMPLOYEE’S DISMISSAL PROCEDURE IN MALAYSIA:
AN OVERVIEW
TABLE OF CONTENTS
Items
1. Introduction
2. Definition Of Employee 's Dismissal
3. Misconduct And Types Of Misconduct
4. Malaysia 's Law Covering Employee 's Dismissal
5. Dismissal Procedures
6. Protection Against Wrongful Dismissal
7. Statistic of Dismissal Case In Malaysia
8. Court Cases Involving Employees Dismissal
References
2
INTRODUCTION
Dismissal is one of the important aspects when discussing relationship between an organization and its employee and part of employment relationships. Dismissal itself is considered as the last choice of punishment by the employer to terminate the contract of employment with the employer. Dismissal is the severest punishment which can be awarded since it will create unneeded outcome whether to an organization or the affected employee. In some cases, the dismissal decision itself has been challenged back by the employee and brought to the court to be heard.
Realizing the unneeded effect of dismissal against the organization, some executives and managers try to avoid making that decision by using alternative approaches when dealing with
„problematic‟ employee like transfer the employee to another supervision or department, promote the employee to another area and in some cases arrange the employees to resign on their own accord.
Malaysia‟s Employment Act 1955 has clearly stated that the right to terminate and dismiss employee is a management prerogative, yet dismissal as a matter of fact is one of the most difficult task for any executive or manager. As a matter of fact employee in this country can only be terminated due to valid and justified reasons of disciplinary cases or misconduct and poor work performance.
Definition of Employee
There are two acts specifically deal with employment relation in Malaysia, The Employment Act
(EA) 1955 and Industrial Relation Act (IRA) 1967. Both acts define what the term
References: employment contract. This is what Ayadurai (1998) explain; the term „Termination‟ in Malaysian Industrial Law refers to the termination of employment relationship, but as this Ayadurai (1998) also refers “dismissal” as termination of a particular kind (due to specific cause) and moreover one moreover that is easily distinguishable from any other kind Idid, S. Ahmad (1997) explained that there is no doubt dismissal is the severest punishment which can be awarded to delinquent employee by his employer for some act of misconduct, but (2003). While in Malaysia‟s legal perspective misconduct is an “improper behavior, intentional wrong-doing or deliberate violation of a rule or standard of behavior…Any conduct inconsistent 5 Ayadurai (1998) stated that the Industrial Court confirmed that it is for employer to determine