Redundancy can arise from external project changes, not just contractual conditions; managerial prerogative allows restructuring if done in good faith.

JUDGMENT

Ahmad Kamal Md Shahid J:

Introduction

[1] The Applicant had filed judicial review application No: WA-25-268- 07/2021 (JR268), No: WA-25-269-07/2021 (JR269), No: WA-25-270-07/2021 (JR270) and No: WA-25-271-07/2021 (JR271) under O 53 of the Rules of 2012 (ROC) for amongst others, an Order of Certiorari to quash the Industrial Court Awards No: 836 of 2021 [[2021] 3 MELR 65; [2021] 2 ILR 345], No: 831 of 2021 [[2021] MELRU 831], No: 834 of 2021 [[2021] MELRU 834] and No: 832 of 2021 [[2021] MELRU 832] dated 22 April 2021 respectively.

[2] Although these applications emanate from separate Awards of the Industrial Court, they all relate to what are essentially identical facts. Indeed, all four cases were heard together in the proceedings before the Industrial Court, and the contents of the Awards themselves are substantively identical.

[3] In the above Award, the 1st respondent (Industrial Court) held that the 2nd respondent in JR 268, JR 269, JR 270 and JR 271 had been dismissed by the Applicant without just cause and excuse.

[4] JR 269, JR 270 and JR 271 are fixed to be heard together with this JR 268.

[5] After the hearing, I allowed the Applicant's applications in JR 268, JR 269, JR 270 and JR 271. I will now set out the grounds of my judgment.

Background Facts

[6] The facts leading to the filing of JR 268, JR 269, JR 270 and JR 271 are almost identical and are adopted with and/or without modification from the parties' written submissions and can be summarized as follows:

6.1. The Applicant is a firm of consulting engineers and was appointed by Prasarana Malaysia Berhad (Prasarana) to work on the Light Rail Transit Line 3 (Western Corridor) Project (the LRT3 Project). At the material time, MRCB-George Kent Sdn Bhd (MRCB-GK or the then-PDP) was appointed as the 'Project Delivery Partner' responsible for the management and supervision of the LRT 3 Project, albeit the ultimate owner of the LRT3 Project was and is the Malaysian Government, which maintained final authority over the same.

6.2. The 2nd Respondent was specifically employed to work on the site of the LRT3 Project as a Resident Engineer, Light Rail Transit 3 - Western Corridor, for a two-year fixed period from 3 July 2017 until 30 June 2019, with a basic salary of RM16,000.00 per month.

6.3. Following the 14th General Elections on 9 May 2018, the then-new Malaysian Government implemented a review of all large- scale projects, including the LRT3 Project.

6.4. MRCB-GK had instructed the Applicant (as well as all other subcontractors involved in the LRT3 Project) to hold all reviews and approvals for shop drawings and submissions and to stop overtime and shift duty site work.

6.5. Thereafter, there was an announcement by the Ministry of Finance on 12 July 2018 that, while the LRT3 Project would continue, there would be significant changes made, including inter alia the following:

(a) the timeline for completion of the LRT3 Project was revised from 2020 to 2024;

(b) there would be a reduction in the overall construction size and design of the LRT train depot and LRT stations due to the change from 42 sets of 6-car trains to 22 sets of 3-car trains; and

(c) the construction of five stations would be shelved and the 2km underground tunnel and underground station at Persiaran Hishammuddin, Shah Alam would be cancelled.

6.6. The above changes effectively entailed significant changes to and an overall reduction in scope, whereby the LRT3 Project was changed from a Project Delivery Partner model to a fixed price (ie turnkey or 'Design and Build') contract.

6.7. The various contractors involved in the LRT3 Project were informed of the cost review exercise involving the Ministry of Finance via letters dated 2 July 2018 and 9 July 2018, whereby more aspects of the LRT3 Project were put on hold or omitted entirely. Various meetings were also held with MRCB-GK to discuss the cost optimisation exercise, including inter alia the omission of the six stations.

6.8. Around October 2018, the directive