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2010 MarsdenLR 1244

INDUSTRIAL COURT, SARAWAK
PETER ANJAT & ORS – Appellant
Versus
GENESIS FORCE SDN BHD – Respondent
Award No. 1436 Of 2010 [Case No. 8/4-424/07]



The dismissal of an employee must be justified with clear evidence of misconduct; failure to prove allegations results in reinstatement or compensation.

Headnote:(A) Industrial Relations Act 1967 - Section 20(3) - Dismissal of employees without just cause or excuse - Claimants dismissed for serious misconduct without show cause letters or domestic inquiry - Court reaffirmed the employer's right to summarily dismiss an employee if exercised properly - Analysis revealed no evidence substantiating claims against 1st Claimant, partial evidence against 2nd Claimant, and sufficient evidence against 3rd Claimant for misconduct leading to dismissal. (Paras 1-7)

(B) Duty of the Court - Court evaluates whether the termination was justified based on the employer's provided reason and the standard of proof is on the employer to demonstrate misconduct - The Court must not substitute its own reasons for those provided by the employer. (Para 3)

Facts of the case:
The Claimants were dismissed by their employer on 11th May 2005 for allegations including assault on a colleague and instigating workers to stop work. The Court found many allegations against the Claimants unsubstantiated, ruling that the employer failed to prove their case, except for the 2nd Claimant regarding assault and the 3rd Claimant for instigating action leading to a work stoppage.

Findings of Court:
The Court concluded that the 1st Claimant's dismissal was without just cause due to lack of evidence. The 2nd Claimant was found to have committed assault, justifying dismissal, while the 3rd Claimant was also validly dismissed for instigating a work stoppage.

Issues: The core issue revolved around whether the dismissals were with just cause, evaluating the evidential support provided by the employer for the allegations.

Ratio Decidendi: The pivotal consideration was whether the employer established the alleged misconduct to justify dismissal and the threshold of proof required, which was not met for the 1st and partly for the 3rd Claimant.

Result: The dismissal of the 1st Claimant was held to be without just cause; the dismissal of the 2nd and 3rd Claimants was justified in part.

Table of Content
1. reference by minister concerning employee dismissals (Para 1 , 2 , 3)
2. grounds for dismissals outlined (Para 4 , 5 , 6)
3. analysis on allegations against claimants (Para 7)

By a Reference dated 28th August, 2006 the Honourable Minister of Human Resources has referred the representations of Peter ak. Anjat, Runsor ak. Ganing and Jeffery ak. Anjat (hereinafter referred to as "1st Claimant, 2nd Claimant and 3rd Claimant" respectively) concerning their dismissals from their employment by their former employer Genesis Force Sdn. Bhd. (hereinafter called the "Respondent/Company") on 11th May, 2005 to this Court for an award pursuant to Section 20 (3) of the Industrial Relations Act 1967 .

2. The Pleadings

The 1st, 2nd and 3rd Claimants herein have together filed their statement of case through the firms of Messrs. Ranbir S. Singh & Co., Advocates & Solicitors of Miri. wherein they claim for reinstatement into their former employment without any loss of wages, allowances, service seniority, privileges or benefits and/or other alternative relief deemed fit and proper by the Court. They all claim that their dismissals herein were without just cause or excuse and in breach of the principles of natural justice and/or unfair labour practice.

The Respondent in a very brief reply filed by its firm Messrs. Ee & Lim, Advocates of Kuching, denies the allegations of the Claimants and contends that the Claimants were justly and fairly dismissed for serious misconduct.

The trial before this Court in Sibu saw the Company calling 3 witnesses, and the 3 Claimants offering themselves as witnesses for their own cases.

3. Dismissals summary & immediate

The dismissal of the 3 Claimants by the Respondent on 11th May, 2005 was swift. There were no show cause letters issued to them and no domestic inquiry was conducted. The Respondent felt that their misconduct was so serious that it warranted immediate summary dismissal. It is of course trite law that an employer has the right to summarily dismiss an employee on grounds of serious misconduct. It is also trite law that the prerogative to dismiss an employee is a prerogative of the employer and if properly exercised, the Court will not interfere with its exercise.

4. Facts leading to the dismissals

The Company operated a coal mine in Mukah. The 1st Claimant Peter ak. Anjat was the public relations officer of the Company at the site. The 2nd Claimant Runsor ak. Ganing was the assistant public relations officer. The 3rd Claimant Jeffery ak. Anjat was an assistant site supervisor. All of them worked at the site and are related to one another. The 1st and 3rd Claimants are brothers while the 2nd Claimant is their cousin.

The Company mined the Iban lands in the area and there were incidents of blockades by the landowners in the past.

On 6th May, 2005 certain incidents which will be adverted to below allegedly took place at the site which led the Company to dismiss these 3 Claimants on the 11th May, 2005. These purported incidents are referred to in the letters of termination issued to the Claimants and are used as grounds for terminating their employment. It would be convenient to reproduce the 3 letters herein.

Letter of termination - 1st Claimant Peter ak Anjat

Letter of termination - 2nd Claimant Runsor ak Ganing

Letter of termination - 3rd Claimant Jeffery ak Anjat

5. Grounds for dismissals

Looking at these grounds for the dismissals of the 3 Claimants, it can be seen that they are all common grounds to all 3 Claimants, except for ground no. 4, that is, absence from work. In respect of this particular ground, the 1st Claimant (Peter ak Anjat) as well as the 2nd Claimant (Runsor ak Ganing) , the Company had alleged that these two Claimants were absent from work on "9th May, 2005 to date" (that would mean the date of the termination letter 11th May, 2005). In respect of the 3rd Claimant (Jeffery ak Anjat) , however, the allegation is that he was absent from work from 6th May, 2005 to 7th May, 2005 .

In Goo

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