NG CHANG SENG 1. TECHNIP GEOPRODUCTION (M) SDN BHD 2. MAHKAMAH PERUSAHAAN MALAYSIA

NG CHANG SENG 1. TECHNIP GEOPRODUCTION (M) SDN BHD 2. MAHKAMAH PERUSAHAAN MALAYSIA

The Industrial Court properly found the employer did not discharge its burden to prove genuine redundancy or validly depart from LIFO and that the selection of the claimant was colourable (premised on perceived poor performance/insubordination). The Court of Appeal affirmed that the termination was without just cause or excuse, set aside the High Court judgment, and reinstated the Industrial Court award of compensation and back wages after relevant deductions.

Citation
W-02(A)-692-04/2019 (Mahkamah Rayuan)
Parties
Appellant: Ng Chang Seng; Respondent: Technip Geoproduction (M) Sdn Bhd; Respondent: Mahkamah Perusahaan Malaysia
Court
A
Jurisdiction
Malaysia
Judgment Date
14 May 2020
Case Number
W-02(A)-692-04/2019 (Mahkamah Rayuan)
Procedural Posture
Judicial Review of Industrial Court Award (retrenchment Dispute) / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal allowed; High Court decision quashed and set aside; Industrial Court Award affirmed.
Legal Topics
Retrenchment, Redundancy, Last in First Out (lifo) Principle, Bona Fide Managerial Prerogative, Judicial Review Scope, Code of Conduct for Industrial Harmony
Source Language
Malay/English
Employment Law Industrial Relations Administrative Law Labour Law Retrenchment Redundancy Last in First Out (lifo) Principle Bona Fide Managerial Prerogative +2 more

Case Brief

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Parties

Ng Chang Seng

Appellant

Technip Geoproduction (M) Sdn Bhd

Respondent

Mahkamah Perusahaan Malaysia

Respondent

Procedural Posture

Judicial Review of Industrial Court Award (retrenchment Dispute) / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Whether the dismissal was a genuine redundancy or a colourable retrenchment
  2. 2 Whether the employer followed LIFO or had valid reasons to depart from it
  3. 3 Whether foreign and/or contract staff were improperly retained over local/permanent staff

Ratio Decidendi

The Industrial Court properly found the employer did not discharge its burden to prove genuine redundancy or validly depart from LIFO and that the selection of the claimant was colourable (premised on perceived poor performance/insubordination). The Court of Appeal affirmed that the termination was without just cause or excuse, set aside the High Court judgment, and reinstated the Industrial Court award of compensation and back wages after relevant deductions.

Court Disposition

Appeal allowed; High Court decision quashed and set aside; Industrial Court Award affirmed.

Orders

  • Set aside High Court judgment dated 26.3.2019
  • Affirmed Industrial Court Award that termination was without just cause or excuse