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2025 MarsdenLR 2382
INDUSTRIAL COURT KUALA LUMPUR
TUAN NOOR AZLINA TUAN MAT – Appellant
Versus
HANDAL IMRO SDN BHD – Respondent
Award No: 588 of 2025 [Case No: 4/4-270/24]
The employer bears the burden of proving just cause for dismissal, and the employee must establish wrongful dismissal when the employer contests it.
Headnote:(A) Industrial Relations Act 1967 - Sections 20(3) and 30 - Unjust dismissal - Claimant dismissed without just cause or excuse - Claimant employed from 24 July 2013 to 4 July 2023 - Initial resignation letter tendered on 20 April 2023, later retracted due to Company's request to continue employment - Dismissal arose from refusal to sign an Independent Contractor Agreement (ICA) - Court found dismissal unjust and against fair labor practices. (Paras 12, 19, 34, 41, 47)
(B) The burden of proof in dismissal cases lies with the employer, who must provide convincing evidence of just cause for dismissal. The claimant bears the burden of proof only where the dismissal is contested by the employer. (Paras 15, 16)
Facts of the case:
The Claimant alleges unlawful dismissal by the Company, asserting she did not resign but was dismissed after refusing to sign an ICA. The Company claims the Claimant voluntarily resigned. (Paras 5-6, 8, 10)
Findings of Court:
The Claimant was found to have been dismissed without just cause or excuse. The dismissal was deemed unjust and contrary to fair labor practices, warranting compensation instead of reinstatement. (Paras 34-35, 41-46)
Issues: Whether the Claimant was dismissed without just cause or if she resigned. (Paras 20-21)
Ratio Decidendi: The Court determined that evidence supported the Claimant's claims of dismissal rather than resignation, holding that the Company did not substantiate its claims adequately, therefore finding in favor of the Claimant. (Paras 19-27, 34-35)
Result: The Company is ordered to pay the Claimant RM261,000.00 within 30 days. (Paras 46-47)
| Table of Content |
|---|
| 1. judicial reference for industrial dispute. (Para 1 , 2 , 3) |
| 2. claimant's allegations and company’s response. (Para 4 , 5 , 6 , 7 , 8) |
| 3. summary of claimant's case. (Para 10 , 11) |
| 4. function of the industrial court. (Para 12 , 13 , 14) |
| 5. burden of proof in dismissal cases. (Para 15 , 16 , 17) |
| 6. evaluation of evidence regarding resignation and dismissal. (Para 19 , 20 , 21 , 22) |
| 7. challenges to company's claims of resignation. (Para 23 , 24 , 25 , 26 , 27 , 28) |
| 8. legal interpretation of resignation and employer obligations. (Para 29 , 30 , 31 , 32) |
| 9. court's findings on unjust termination. (Para 33 , 34) |
| 10. court's order for compensation due to wrongful dismissal. (Para 35 , 36 , 39) |
| 11. (Para 40 , 41 , 42 , 43 , 44) |
| 12. financial compensation summary and final judgment. (Para 45 , 46) |
Reference
[1] This is a reference dated 12 March 2024 by the Director General of the Department of Industrial Relations, Ministry of Human Resources pursuant to s 20(3) of the Industrial Relations Act 1967 ("The Act") arising out of the alleged dismissal of Tuan Noor Azlina Tuan Mat (Claimant) by Handal iMRO Sdn Bhd (Company) on 4 July 2023.
[2] Pursuant to the directions of this Court, the parties in this matter filed their respective submissions dated 13 February 2025 (Claimant's written submissions), 13 February 2025 (Company's written submissions), 26 February 2025 (Claimant's written submissions in reply) and 26 February 2025 (Company's written submissions in reply).
[3] This Court considered all the notes of proceedings in this matter, documents and cause papers in handing down this Award, namely:
(i) The Claimant's Statement of Case dated 13 May 2024;
(ii) The Company's Statement in Reply dated 18 June 2024;
(iii) The Claimant's Rejoinder dated 3 July 2024;
(iv) The Claimant's Bundles of Documents — CLB1, CLB2, CLB3 & CLB4;
(v) The Company's Bundles of Documents — COB1 & COB2;
(vi) The Claimant's Witness Statement — CLW1-WS (Tuan Noor Azlina Tuan Mat); and
(vii) The Company's Witness statement — COW1-WS (Mr William H Van Vliet III);
Introduction
[4] The dispute before this Court relates to the claim by Tuan Noor Azlina Tuan Mat ("Claimant") that she was dismissed from her employment with the Company without just cause or excuse by Handal iMRO Sdn Bhd ("theCompany") on 4 July 2023.
[5] The Company is involved in the business of oil and gas. The Claimant commenced employment with related companies on 24 July 2013 and was transferred to the Company effective 1 January 2022 without any change to her salary, years of service, her status as a confirmed employee and the benefits she enjoyed. The Claimant's last held position in the Company was Accounts Payable Lead, and her job scope was related to managing the accounts of the Company. The Claimant's last drawn salary was RM8,700.00 per month.
[6] The Claimant states that on 20 April 2023, the Claimant tendered her resignation letter with one-month's notice to the Company, but due to the Company's request for the Claimant to reconsider her resignation, the Claimant and the Company reached an agreement for the Claimant to continue with her employment with the Company which the Claimant did. However, on 4 July 2023, the Claimant was asked to sign an Independent Contractor Agreement (ICA) that would change her status as a confirmed employee of the Company, which the Claimant refused to sign.
[7] Due to the Claimant's refusal to sign the ICA, the Claimant alleges that she was dismissed from her employment on 4 July 2023. As the Claimant did nothing wrong, the Claimant now alleges that the conduct of the Company in dismissing her from her employment was without just cause or excuse and now prays that she be reinstated to her former position in the Company without any loss of wages and other benefits.
[8] The Company however, denies that it had dismissed the Claimant from her employment and maintains that the Claimant had tendered her resignation letter on 20 April 2023 and was, in t
