By:
Bryan Lui (Co-Managing Partner) [bryanlui@luibhullar.com]
Harneshpal Karamjit Singh (Co-Managing Partner) [harnesh@luibhullar.com]

Understanding Unfair Dismissal in Malaysia: Your Rights and Recourse with Lui & Bhullar
Navigating labour law in Malaysia can be complex, especially when facing employment termination. At Lui & Bhullar, a leading employment law firm in Kuala Lumpur, we specialize in helping both employers and employees understand their rights and obligations. This article delves into the critical issue of unfair dismissal, providing clarity and guidance on your legal options.
What Constitutes Unfair Dismissal?
According to Section 20(1) of the Industrial Relations Act 1967, unfair dismissal occurs when an employee is terminated without "just cause or excuse." Determining what constitutes "just cause" is crucial, and that's where an experienced employment lawyer in Malaysia can provide invaluable assistance.
Just Cause or Excuse: Common Grounds for Dismissal
While not exhaustive, these are the most common reasons justifying dismissal:
Poor Work Performance:
As illustrated in I.E. Project Sdn. Berhad v Tan Lee Seng, unsatisfactory performance can be grounds for dismissal. However, employers must provide adequate warnings and opportunities for improvement. If you believe you were dismissed unfairly due to performance issues, consult an employee rights lawyer in Malaysia.
Misconduct:
Section 14(1)(a) of the Employment Act 1955 allows dismissal for misconduct. Syarikat Kenderaan Kelantan Sdn Bhd v Transport Workers Union defines misconduct as conduct that breaches accepted practices. Examples include insubordination, absenteeism, and harassment. If you are facing accusations of misconduct, or believe you have been dismissed due to wrongful accusations, contact a workplace discrimination lawyer in Malaysia.
Retrenchment:
Retrenchment involves dismissing redundant employees. William Jacks & Co (M) Sdn. Bhd. v S. Balasingam clarifies that genuine redundancy is acceptable, but unfair labour practices are not. An industrial relations lawyer in Malaysia can ensure retrenchment procedures are followed correctly.
Can Employers Dismiss Without Just Cause?
Unlike some jurisdictions, Malaysia protects employee security of tenure. Hong Leong Equipment Sdn Bhd v Liew Fook Chuan emphasizes that dismissal requires "just cause or excuse." This is why having an employment contract lawyer in Malaysia is so important.
What to Do If You've Been Unfairly Dismissed
If you believe you've been unfairly dismissed, you can file a representation with the Director General of Industrial Relations under Section 20(1) of the Industrial Relations Act 1967. This must be done within 60 days.
Burden of Proof and Remedies
In unfair dismissal cases, the employer bears the burden of proof. Ireka Construction Berhad v Chantiravathan A/L Subramaniam James highlights this principle. Remedies include reinstatement (rare) or compensation in lieu of reinstatement.
Beyond the Industrial Court
While the Industrial Court is common, civil courts can also handle employment disputes, as seen in Gajanan Y Bhide v MVE Technologies Sdn Bhd.
Why Choose Lui & Bhullar?
As your employment lawyer in Malaysia, we understand the nuances of labour law in Malaysia. If you're searching for " employment lawyers near me" or need employment law advice in Malaysia, our team is ready to assist. We are a team of wrongful termination lawyers in Malaysian cases, and are experts in all areas of Malaysian employment law.
Conclusion
Malaysian employment law offers significant employee protection. Whether you're an employer or employee, seeking legal advice promptly is crucial. Contact Lui & Bhullar, your trusted employment law firm in Kuala Lumpur, to navigate your employment law needs effectively.
Comments