2010 MarsdenLR 4361
INDUSTRIAL COURT, KUALA LUMPUR
YAP TRIM CHOY – Appellant
Versus
KYOWA HAKKO (M) SDN BHD – Respondent
Award No. 1451 Of 2010 [Case No: 4/4-565/10]
The court upheld the validity of a consent award in labor disputes, confirming mutual settlement as legally binding and dismissing all further claims between the parties.
Headnote:(A) Industrial Relations Act 1967 - Section 20(3) - Dismissal of employee - Reference by Minister for an award regarding the dismissal of the Claimant - Consent Award reached between the Claimant and Respondent where the Company agreed to pay RM20,000.00 as a full and final settlement without any admission of liability. (Paras 1-6)
(B) Settlement - Legal validity of consent awards - The Court recognizes amicable resolutions and consent awards as legally binding, ensuring that both parties have no further claims post-settlement. (Paras 1-3)
Facts of the case:
The dispute arises from the dismissal of the Claimant by the Respondent on 08 April 2004, leading to a ministerial reference under Section 20(3). The parties resolved their differences amicably, opting for a financial settlement rather than contesting the dismissal in court.
Findings of Court:
A Consent Award was issued confirming the terms of settlement between the parties, thereby concluding the matter.
Issues: The court addressed the legality and implications of the consent settlement reached by the parties.
Ratio Decidendi: The Ministerial reference and subsequent consent settlement reflect recognition of amicable resolutions in labor disputes, affirming the legal enforceability of such settlements.
Result: Consent Award made.
AWARD
This is a Ministerial reference dated 03rd Mei 2010 to the Industrial Court under s. 20(3) of the Industrial Relations Act 1967 (Act 177) for an award in respect of the dismissal of Encik Yap Thim Choy ("the Claimant") by Kyowa Hakko (M) Sdn Bhd ("the Respondent") (the Company) on 08 April 2004.
At the mention date of 11 November 2010 the parties informed the Court in writing that they had amicably resolved the matter. As requested by the parties the Court hereby hands down a Consent Award on the following terms:-
1. The Company has agreed to pay an ex-gratia sum of RM20,000.00 (Ringgit Malaysia Twenty Thousand Only) to the Claimant as full and final settlement of this case ("the ex-gratia sum") without any admission of liability on either of the parties;
2. The Claimant has agreed to accept the ex-gratia sum;
3. The ex-gratia sum shall be paid by the Company to the Claimant through Malaysian Trades Union Congress vide a cheque ("the said cheque" ) made in favour Malaysian Trades Union Congress on or before 30.11.2010;
4. The said cheque shall be hand delivered to the Claimant's Representative (Mr. Peter Kandiah) by the Company Solicitors on or before 30.11.2010;
5. Upon clearance of the said cheque by the Claimant's Representative, the Claimant shall have no further claim whatsoever in respect of this matter against the Company. Likewise the Company shall also have no further claims against the Claimant in respect of this matter; and