The court upheld the validity of genuine fixed-term contracts over claims of permanent employment, concluding the resignation was effective and constituted a natural end to employment.

Teoh Chin Chong:

[1] The cause papers, documents, witness statement and written submissions filed in this matter are as follows:

(a) Statement of Case dated 14 November 2019;

(b) Statement in Reply dated 2 December 2019;

(c) Rejoinder dated 18 December 2019;

(d) The claimant's Bundle of Documents - CLB;

(e) The company's Bundle of Documents - COB;

(f) Letters dated 28 April 2006; 28 September 2006; 15 February 2007; 19 March 2007; 17 December 2007; 19 January 2011 COB1;

(g) The company's Written Submission filed on 24 July 2020;

(h) The claimant's Written Submission filed on 24 July 2020;

(i) The company's Submission in Reply filed on 13 August 2020; and

(j) The claimant's Submission in Reply filed on 17 August 2020.

[2] The company called two (2) witnesses, viz:

(a) Iwan Azlan bin Mokhtar - COW1; and

(b) Yee Yang Chien - COW2.

The claimant testified as the sole witness in this matter.

Brief Facts

[3] The company is a world leading provider of international energy related maritime solutions and services.

[4] The claimant joined the company as Manager, Finance & Project Services on a fixed-term contract basis for two years commencing on 15 September 2002.

[5] The claimant was appointed as a permanent employee of the company from 1 January 2004 holding the same position.

[6] The claimant was transferred and upgraded to several positions throughout her permanent employment with the company. In summary, her grades/positons within the company are as follows:

[7] The claimant tendered her resignation vide a letter dated 10 January 2013 ("Notice of Resignation"). In the same letter, the claimant requested for early release and expressed her "sincerest gratitude to the management" for her 10 years in the company.

[8] The company acknowledged receipt of the Notice of Resignation vide a letter dated 13 February 2013 ("Acceptance of Resignation Letter"). In the same letter, the company informed the claimant that her request for early release was rejected and her last employment with the company would be on 9 April 2013. A Pre-Departure Checklist was attached to the letter. The claimant disputes receipt of this letter.

[9] In the last quarter of 2012, in view of the impending expiry of the then Vice President ("VP") Finance's contract, the company commenced looking for a suitable candidate to fill that position.

[10] The claimant was proposed as a candidate. The company considered candidates from within and without the company. Initially, the company offered the position to one Wan Mashitah Wan Abdullah Sani but she declined the offer. During the company's Board of Director's ("Board") meeting on 25 February 2013, the Board agreed to the appointment of the claimant as VP of Finance.

[11] Following the Board's approval, vide a letter dated 18 March 2013 the company offered the claimant employment as VP of Finance commencing on 1 April 2013 for a fixed term of three years ("First Contract"). It was also a term of the First Contract that "further extension will be considered at the discretion of the company".

[12] The claimant accepted her appointment as VP Finance and accepted the offer of employment in accordance with the terms stipulated in the First Contract.

[13] As the First Contract was due to expire on 30 March 2016 and having considered the needs of the role of VP of Finance then, the Chief Executive Officer ("CEO") recommended that the claimant be offered the position again under a new contract.

[14] A proposal was prepared by Encik Iwan Azlan bin Mokhtar ("COW1") and the same was submitted to the Nomination and Remuneration Committee ("NRC") for endorsement to offer the claimant the position of VP of Finance for two years commencing on 8 April 2016. The Board deliberated on the NRC's proposal and agreed to offer the claimant a contract for a fixed term of two years from 8 April 2016 to 7 April 2018 ("Second Contract").

[15] The duration of the Second Contract was fixed for a two-year term due to the uncertainty surrounding the provisions of the Minimum R