Five long service employees filed their section 20 representations at the Industrial Court claiming that their retrenchment by their employer was mala fide. On 16.11.2020, the Industrial Court determined that the retrenchment was carried out in good faith after considering various factors put forth by the Company, including its financial standing, sales performance at the domestic and foreign market, the economic climate and its impact on similar industries in Malaysia, cost cutting measures implemented before retrenchment, the savings obtained by the Company after the retrenchment, the employee selection criteria for retrenchment, the employees’ performance record and the impact of technology on manual labour.
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Our partner, Mehala Marimuthoo and associate, Nurhamizah Bustami were in conduct of the matters at the Industrial Court.
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