Littler Global Guide - Malaysia - Q3 2023

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Employee Who Commenced Employment with Another Employer Before Dismissal Not Entitled to Compensation

Precedential Decision by Judiciary or Regulatory Agency

Authors: Selvamalar Alagaratnam, Partner and Head of Employment, and Teng Wei Hun, Senior Associate – Skrine

In a recent case, the Court of Appeal ruled that an employee who, while under investigation and suspension, had commenced employment with a new employer without the knowledge of his current employer was not entitled to any compensation. The Court of Appeal held that the claimant was no longer an employee of the company when he was notified of his dismissal as he had already commenced employment with another company. Therefore, the claimant did not fall within the definition of “workman” under Industrial Relations Act 1963 and as such, was not entitled to bring a claim of unjust dismissal under it.

Employer’s Failure to Manage Employee’s Pleas for Intervention Following Transfer Amounted to Constructive Dismissal

Precedential Decision by Judiciary or Regulatory Agency

Authors: Selvamalar Alagaratnam, Partner and Head of Employment, and Teng Wei Hun, Senior Associate – Skrine

In a recent case, the Court of Appeal held that, while the transfer and re-designation of the employee’s position itself did not offend any express terms of the contract of employment, by issuing the transfer and in failing to manage the claimant’s various pleas for intervention by the employer, there was a fundamental breach of the implied term that the employer would not do anything to destroy the mutual trust and confidence that is the bedrock of any employer and employee relationship.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.