The dismissal of an employee for redundancy is valid if supported by evidence of a genuine lack of work.

[1] This is a Ministerial reference to the Industrial Court under s 20(3) of the Industrial Relations Act 1967 ( IRA ) made on 26th June, 2015 for an award in respect of the dismissal of Irwin Collin Aran (Claimant) by Schlumberger WTA (M) Sdn Bhd (Company) on 13th November, 2014.

A. Background Facts

[2] The Company, by their Letter of Offer dated 10 October 2012, offered the Claimant a job called Shell Miri Directional Drilling (DD) Co-ordinator under the Sarawak Shell Bhd Contract No 600876, based in Miri with an Annual base salary of RM168,000.00 or equivalent to RM14,000.00 per month). The Claimant accepted the aforesaid offer with effect from 01 January 2013.

[3] In addition to the Letter of Offer, the other terms and conditions of the Claimant's employment are contained in the Company's Home Country Resident Manual (HC Manual) at pp 5 - 55 of COBD. As Shell Miri DD Coordinator, the Claimant was based in Miri at all material times.

[4] The Claimant was responsible to provide drilling support services to Sarawak Shell Bhd in respect of Shell Shallow Water operations, at Shell office in Lutong, Miri.

[5] When the Claimant joined the Company he was offered a Sign On Bonus of USD30,000.00.

[6] In addiLion Lo Annual Base Salary and Sign on Bonus, the Claimant also received Guaranteed Job Bonus (GJB) of 25 days per month, which worked out to an average of RM40,477.74.

[7] The Claimant was taken in by the Company as regular staff and joined the Company with effect from 01 January 2013.

[8] On 13 November 2014, the Company terminated the services of the Claimant on the ground that the Claimant's role as DD Co-ordinator in Miri does not exist.

[9] The Claimant is alleging that his termination by the Company is without just cause and excuse. By this action the Claimant prays to be reinstated to his former position in the Company and for other reliefs as stated in the Statement of Case.