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Award 38668

This case involves a claim of unfair dismissal brought by Merry Apple Taruc Achico (the Claimant) against her former employer Softenger (Malaysia) Sdn. Bhd. (the Company). The Claimant was terminated on February 1, 2021 allegedly due to poor work performance. However, the Claimant argues that the real reason for her dismissal was her rejection of inappropriate invitations from her superior. The Company maintains that the Claimant was warned multiple times via emails about failing to meet targets and comply with policy but did not improve. It is the Claimant's position that she received no formal warnings and the Company failed to establish a performance improvement plan before terminating her employment. The court must now determine

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0% found this document useful (0 votes)
447 views36 pages

Award 38668

This case involves a claim of unfair dismissal brought by Merry Apple Taruc Achico (the Claimant) against her former employer Softenger (Malaysia) Sdn. Bhd. (the Company). The Claimant was terminated on February 1, 2021 allegedly due to poor work performance. However, the Claimant argues that the real reason for her dismissal was her rejection of inappropriate invitations from her superior. The Company maintains that the Claimant was warned multiple times via emails about failing to meet targets and comply with policy but did not improve. It is the Claimant's position that she received no formal warnings and the Company failed to establish a performance improvement plan before terminating her employment. The court must now determine

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You are on page 1/ 36

IN THE INDUSTRIAL COURT OF MALAYSIA

CASE NO.: 6/4-2673/21

BETWEEN

MERRY APPLE TARUC ACHICO

AND

SOFTENGER (MALAYSIA) SDN. BHD.

AWARD NO.: 1293 OF 2023

Before : Y.A. Tuan Amrik Singh - Chairman (Sitting Alone)

Venue : Industrial Court Malaysia, Kuala Lumpur

Date of Reference : 13.08.2021

Dates of Mention : 24.11.2021 & 09.03.2022

Dates of Hearing : 09.11.2022, 10.11.2022, 17.11.2022, 17.01.2023,


15.03.2023 & 21.03.2023
Representation : Mr. Muniandy Vestanathan with Muhammad Afiq
bin Yahawa
Messrs. Jamie Wong
Counsel for the Claimant

Ms. Angelene Cheah Kai Li


Messrs. Andy & Co
Counsel for the Company

REFERENCE:

This is a reference made under section 20(3) of the Industrial Relations


Act 1967 (the Act) arising out of the dismissal of Merry Apple Taruc
Achico (hereinafter referred to as “the Claimant”) by Softenger
(Malaysia) Sdn. Bhd. (hereinafter referred to as “the Company”) on 1st
February 2021.
AWARD

[1] The parties in this dispute have filed their respective written

submissions, reply submissions and bundle of authorities in

support of their case which this Court has taken its time to read

on every issues raised therein and had examined and considered

the oral and documentary evidence presented in the trial.

[2] The documents that were filed by parties which this Court had

gleaned to consider in handing down this Award were as follows:

(i) Statement of Case

(ii) Statement In Reply;

(iii) Rejoinder;
(iv) Claimant’s Bundle of Documents marked as CLB 1, CLB 2
and CLB 3;
(iv) Company’s Bundle of Documents marked as COB 1 and
COB 2;
(v) Witnesses Statement for the Claimant marked as CLWS

1 for Kalaivani A/P Sockalingam, CLWS 2 for the Claimant,

CLWS 3 for Noor Asmawe Bin Mohamed Isa and CLWS

4 for Jessylyn Cezar; and

(vi) Company’s witness statement of R. Lakshimi Narayanan

marked as COWS 1.

2
Brief Facts Of The Case

[3] A Filipino citizen, the Claimant, gave her testimony in this

unlawful dismissal claim before this Court by way of remote

communication technology and was present through out the

proceedings via remote hearing since the Claimant resides

and works in British Columbia, Canada.

[4] The Claimant was a work permit holder, commenced her

employment on 28.06.2019 as Talent Acquisition Specialist and

was placed under a probation for a period of six (6) months

with the initial monthly salary of RM5,500.00. By letter dated

25.09.2020, the Claimant was promoted to Senior Talent

Acquisition Specialist effective from 01.09.2020 with a revision

of salary to RM5,850.00.

[5] By an email received on 02.12.2020, the Claimant was informed

that she has been terminated due to ‘lack of efficient

performance’ and her last date of employment with the

Company to be on 01.02.2021.

3
[6] The Claimant pleads that her dismissal was not caused by

her alleged poor performance but was due to her rejections of

the ‘inappropriate invitations’ made by her superior R. Lakshimi

Narayanan (Naren) (COW 1). The Claimant prays to be reinstated

without any deductions of salary, allowance, seniority, privilege

or benefit which the Claimant was entitled prior to her dismissal

and compensation for the unfair dismissal.

The Claimant’s Submission

[7] It is submitted by the Claimant that upon being notified of her

termination vide an email dated 02.12.2020, the Claimant was

given approximately two (2) months notice with her last date

of employment to be on 01.02.2021. The Company ought to

have issued the Claimant a warning as to her alleged poor

performance in her duties but no such notice was issued to

the Claimant. In fact, the Company decided to terminate the

Claimant’s employment out of a sudden without any indication

of the Claimant’s wrongdoings or what the Company was

dissatisfied of.

4
[8] The learned counsel for the Claimant submitted that it is

unacceptable that the Company merely issued an email to

state that “several reminders and team meetings” tantamount

to giving warnings to the Claimant. The learned counsel

submitted that a reminder is not a form of warning for termination

but merely the Company’s request to the Claimant to improve

on the shortcomings and if there were any shortcomings, the

Company would then has to conduct performance reviews and

devise a performance plan for the Claimant. As there was no

information provided by the Company to help the Claimant

improve her poor performance prior to the termination, the

Claimant did not receive details regarding how to improve her

poor performance, how many chances or opportunities the

Claimant has to improve herself, the time frame to improve

her performance and no proper steps taken to terminate the

Claimant’s employment.

[9] The Company, as submitted by the Claimant in her submission,

had admitted through COW 1 in his cross examination that the

Claimant did a good job numerous times during her

employment and praised her in the group messages. The

Claimant claims that it is ludicrous for the Company to claim

5
that the Claimant was under performing but yet praised the

Claimant for her good performance prior to terminating her

from her employment.

[10] It was further submitted that there were no warnings given to

the Claimant and the reminders were mere reminders with no

consequences of the reminders culminating into a termination

of her employment with the Company. In the absence of any

warnings, notices or documents it would be impossible for the

Claimant to know of her alleged shortcomings in her work

performance.

[11] The Claimant submitted that arising from the Company’s failure

to warn the Claimant of her alleged poor performance, the

Company did not give any opportunity to the Claimant to

improve prior to terminating her from her employment and the

Company had not adduced any evidence to that effect.

[12] It was further submitted that the Company had failed to

establish a Performance Improvement Plan (PIP) for the

Claimant. The Claimant cited the case of Tan Poh Thiam v

6
Industrial Court of Malaysia & Anor [2015] 1 LNS 1534 that

held :

“[84] This court is convinced that the claimant could have been

dealt with appropriately with proper management system

ie, other lesser forms of punishment instead of taking

drastic steps by terminating his service.”

[13] On an issue relating to sexual harassment against the

Claimant, it was submitted by the Claimant that COW 1 had

sent her “ love kiss” emoji which was unwarranted of COW 1.

COW 1 asked the Claimant for her response when he sent

the message “not for this?” in reference to his love kiss emoji.

The Claimant submitted that there was nothing in the

testimonies which suggested that any emoji of flirtatious kind

was accepted or welcomed by the Claimant and instead it made

her uncomfortable.

The Company’s submission

[14] It is the Company’s submission that it had, through numerous

emails, reminded and warned the Claimant about not achieving

the required targets number profiles per day as well as not

7
adhreing to the Company’s policy of having a proper mail

signature. The Company listed emails correspondences issued

to the Claimant on her performances and for not adhering to

its mail signature policy. It further claimed that the emails as

exhibited in the Company’s bundle of document are sufficient

to show that the Claimant had been given numerus written

warnings pertaining to her not achieving daily targets and

therefore are sufficient to justify dismissing the Claimant.

[15] It was submitted then by the Company that as the Claimant

held the position of Senior Talent Acquisition Specialist, the

Company was of the view that the Claimant was expected to

know what are the requirement and the expectation of her by

the Company.

[16] To an email dated 29.09.2020 from the Company’s

representative, wherein it was stated “Treat this as a warning”,

the Company submitted that the Claimant cannot now allege

that she had not been given any warnings prior to her

dismissal as she had agreed that it amounts to a warning and

she had acknowledged the said email.

8
[17] The Company urge this Court to disregard the evidence that

the Claimant had only acknowledge the email dated 29.09.2020

from the Manager, Mr. Naveen, at the request of Mr. Naveen

himself who was not called as a witness as hearsay evidence

and inadmissible.

[18] The Company asserts that there was no mala fide and/or ill

intention or ulterior motive in dismissing the Claimant and it is

evidently clear that the Claimant had been warned of her poor

performance.

[19] On the issue of posting of the pouting mouth and heart love

emoji to the Claimant, it was submitted that COW 1 had no

other intention in sending the aforesaid emoji to the Claimant’s

WhatsApp and was meant as a normal fun emoji as it was

also used in the official office WhatsApp group.

The Claimant’s Witnesses

[20] The Company also urge this Court to disregard the evidence

of the Claimant’s witness CLW 1 who left the Company prior

to the Claimant’s dismissal on 30.06.2020. CLW 3’s testimony

9
according to the Company had no relevance as he had

admitted that he does not know the number of profiles the

Claimant is required to submit. Furthermore, the Claimant’s

solicitor had informed the Court that CLW 3 was being a

hostile witness as his testimony during cross examination by

the Company’s counsel was completely different from his

testimony given in his examination in chief. As for CLW 4, it

is in her evidence that CLW 4 did not work with the Claimant

though being with the Company at that time and left sometime

in early June 2019. CLW 4 admitted that the allegations that

COW 1 would be nice to the Claimant when the Claimant is

alone with COW 1 and the messages sent by COW 1 to the

Claimant via WhatsApp was based on what was told to her

by the Claimant.

Losses Suffered by the Company Due To The Claimant’s Actions

[21] On the losses of RM137,000.00 suffered by the Company due

to the Claimant’s actions of having misused the JobStreet

portal, the losses were discovered after the Company checked

the ‘Summary of Credit Consumption By User’. Further, having

received the Company’s laptop from the Claimant, it was

10
discovered that the Company’s private and confidential related

data in the laptop had been erased which resulted in losses

for the Company. The Company submitted that the issue

on the losses suffered by the Company is a pertinent issue

which ought to be considered by this Honourable Court.

Submission On Relief To The Claimant

[22] The Company submitted that the Company was justified in

dismissing the Claimant due to her poor performance and the

Claimant’s claim for compensation and/or reinstatement out

to be dismissed by this Court. Should the Court decide in

the Claimant’s favour, an order of reinstatement may not be

feasible in this case. The Company submits that the Claimant’s

entitlement to backwages ought to be limited to five (5) months

of the Claimant’s last drawn basic salary and since the Claimant

had been paid salary for the two (2) months’ notice period

and that the Claimant had been earning an income post

dismissal albeit as a part time employee and did not voluntarily

disclosed the information to the Court, deductions for post

dismissal out to be made.

11
[23] Hence, on the basis that the Company had discharged its

burden in proving the Claimant’s performance to be poor on

the balance of probabilities, the Company claims that the

Claimant’s dismissal was with just cause or excuse.

The Issues

[24] Since no argument as to the actual factum of dismissal was

raised in this case, the only sole issue that arose for the

determination of this Court is whether the Claimant’s is dismissal

with just cause or excuse.

The Law

[25] The function of the Industrial Court pertaining to a reference

under section 20(3) of the Act is to determine a two fold

question i.e. whether the misconduct complaint of has been

proven and secondly, whether the proven misconduct constitutes

just cause or excuse.

[26] The above principle which has been invariably applied in

Industrial Awards was laid down by Raja Azlan Shah CJ

12
(Malaya) as His Lordship then was in the case of Goon Kwee

Phoy v J & P Coats (M) Sdn Bhd [1981] 1 LNS 30; [1981] 2

MLJ 129 :

“Where representations are made and are referred to the

Industrial Court for enquiry, it is the duty of the court to

determine whether the termination or dismissal is with or

without just cause or excuse. If the employer chooses to

give reason for the action taken by him the duty of the

industrial court will be to enquire whether the reason or

excuse has or has not been made out. If it finds as a fact

that it has not been proven, then the inevitable conclusion

must be that the termination or dismissal was without just

cause or excuse. The proper enquiry of the court is the

reason advanced by the employer, and that court or the

High Court cannot go into another reason not relied on by

the employer or find one for it”.

in the same breath, the role of the Industrial Court under s.20

of the Act was succinctly explained in the case of Milan Auto

Sdn. Bhd. v Wong Seh Yen [1995] 4 CLJ 449, where the

Federal Court held that :

13
“As pointed out by this Court recently in Wong Yuen Hock

v Syarikat Hong Leong Assurance Sdn. Bhd. & Another

[1995] 3 CLJ 344; [1995] 2 MLJ 753; the function of the

Industrial Court in dismissal cases on a reference under

Section 20 is two-fold. Firstly, two determine whether the

misconduct complained of by the employer has been

established, and secondly whether the proven misconduct

constitutes just cause or excuse for the dismissal. Failure to

determine these issues on the merits would be jurisdictional

error…”.

The Industrial Court in exercising its quasi- judicial function

in determining whether the termination or dismissal is with

or without just cause or excuse was also accorded the duty

to act according to equity, good conscience and substantial

merits of the case as provided under section 30(5). It

therefore becomes essential that in a reference made to

the Industrial Court under section 20 of the Act, the Industrial

Court shall deal with the substantial merits of the case

without regard to technicalities and legal form.

14
The Misconduct Complained Of By The Company

[27] The termination of the Claimant’s employment with the Company

was grounded on the Claimant’s poor performance as evident

from the Company’s email of 02.12.2020 entitled “Termination

of contract with the company due to poor performance” that

condensed the Company’s message to the Claimant. The full

content of the email is reproduced herein below:

Dear Apple,

We regretfully notify you that after a series of serious discussions, we


have come to the conclusion that the company demands the termination
of your contract due to the constant lack of efficient performance shown
by you.

As senior resource (Senior Talent Acquisition Specialist) in company after


several reminders and team meetings, It was monitored that your
performance and commitment is not up to the level.

Thus, keeping the company's losses incurred due to your lack of


performance in mind, as per the clause 17 (Termination of Contract of
Employment) we have decided to you lack of refiate your contract with
Softenger (M) Sdn Bhd.
Therefore, your last date in employment would be 1st February 2021.

We believe during time of notice period you will carry out your duties and
responsibilities as per targets given by Management, if fail to do so
repeatedly more than 3 consecutive days, it wilead to shorten your notice
period by lacking in your daily duties.

We request you to return all the property that was obtained during your
employment with softenger, including Laptop, Charger, Office Access
Card and Key etc on your last working for the F&F settlement.

Best Regards

Shobaa
Ast. Manager - HR & Operations

15
The Burden of Proof

[28] In situation where the Company caused the dismissal of its

employee or the workman, the burden lies on the Company to

discharge the burden of proof. This was illustrated in the case

of Ireka Construction Berhad v Chantiravathan a/l

Subramaniam James [1995] 2 ILR 11 where the Court opined

that :

“It is a basic principle of Industrial Jurisprudence that in a

dismissal case the employer must produce convincing

evidence that the workman committed the offence or offences

the workman is alleged to have committed for which he has

been dismissed. The burden of proof lies on the employer

to prove that he has just cause or excuse for taking the

decision to impose the disciplinary measure of dismissal

upon the employee. The just cause must be, either a

misconduct, negligence or poor performance based on the

facts of the case”.

16
The Standard of Proof

[29] In Telekom Malaysia Kawasan Utara v Krishnan Kutty

Sanguni Nair & Anor [2002] 3 CLJ 314 the Court made it clear

that the standard of proof that is required is one that is on

the balance of probabilities.

“Thus in hearing a claim of unjust dismissal, where the

employee was dismissed on the basis of an alleged criminal

offence such as theft of company property, the Industrial

Court is not required to be satisfied beyond a reasonable

doubt that such an offence was committed. The standard

of proof applicable is the civil standard, ie. Proof on a

balance of probabilities which is flexible so that the degree

of probabilities required is proportionate to the nature and

gravity of the issue”.

[30] On the ingredients necessary to prove poor performance as

alleged by the Company, it is pertinent to refer to the case of

Ireka Construction Berhad (supra) where the Learned Chairlady

stated that:

17
“ The only issue for the Court to determine now is whether

the Company on a balance of probabilities has established

the poor performance of the Claimant. As far as

unsatisfactory performance is concerned the Industrial Court

has laid down that in order to justify the dismissal of the

Claimant on this ground, the Company has to establish :

(i) that the Claimant was warned about his poor

performance

(ii) that the Claimant was accorded sufficient opportunity

to improve

(iii) that notwithstanding the above, the Claimant failed

to sufficiently improve his performance”.

[31] In a more recent Judicial Review case of Nesarajah Nadarajah

v Mahkamah Perusahaan Malaysia [2023] 1 LNS 642 in the

High Court Malaya of Kuala Lumpur, Ahmad Kamal Md Shahid

J states that :

[24] Hence, to establish poor performance, the employer has

to prove that it had followed the fair procedure as follows:

(i) The employer should make a proper and full

investigation into the reasons why the employee is

not performing;

18
(ii) The employer should then tell the employee of the

areas in which he is failing to do his job adequately

and if need be, show him how it should be done;

(iii) The employer should then give an opportunity to the

employee to improve his performance; and

(iv) Finally, if the employee continues to perform

unsatisfactorily, warn him that he may have to go.

The Evaluation And Findings

[32] The Company has likened the Claimant’s last held position to

a senior management position and claimed that the Claimant

was therefore, expected to know the expectation of the

Company had on her. With due respect to the learned counsel

for the Company, this Court do not think so.

[33] The Claimant had joined the Company on 28.06.2019 in the

position of Talent Acquisition Specialist and on 1.09.2020 the

Claimant was promoted to Senior Talent Acquisition Specialist.

[34] It is the Court’s considered view that being promoted to the

Senior Talent Acquisition Specialist cannot be deemed to be

19
similar to an employee in the position of senior management

position in the Company as pointed out in the submission of

the Company by relying on the cases of Robert John Reeves

v Menteri Sumber Manusia Malaysia & Anor [2000] 1 CLJ 180

and Sitt Tatt Bhd v Ong Chee Meng [2004] 2 ILR 388.

[35] The Claimant had just worked for approximately 1 year and 3

months when she was promoted to Senior position. Even after

being promoted, the Claimant was still doing the same job

scope that is to achieve the number of profiles set by the

Company albeit higher. However, the Claimant is not in the

senior management position as having just been in the position

over one (1) year and three (3) months could not had possibly

made the Claimant senior in her position and this fact is

misconceived by the learned counsel for the Company. Further,

the Claimant is not in the managerial position in the Company

in the first place and her seniority position is to distinguish

herself from a new recruit or an employee who is much junior

in that department. It is not that she hold a higher position

by being a senior. The seniority refers to the longer period

she had been employed in that position. Hence, the cases

20
cited by the Company’s learned counsel do not apply in the

Claimant’s situation.

[36] The thrust of the Claimant’s case is that up until the date the

Claimant was terminated from her employment, the Company did

not conduct any evaluation on her performance and the

Claimant had often been commended by the Company’s

director (COW 1) since February 2020 by way of WhatsApp

messages stating “Good job Apple”. Proof of the WhatsApp

messages received by the Claimant from COW 1 span from

February to November 2020 and was adduced in Court during

the trial as found in the Claimant’s Bundle of Documents (CLB

1) p. 11 to 24.

[37] On the contrary, the Company had relied on several emails to

prove that it had reminded and warned the Claimant

concerning her failure to reach the required target number

profiles per day as well as her lack of compliance with its

policy in submitting her signature in her emails.

21
[38] The Company’s first email of 24.04.2020 entitled “Official

Circular to Internal Team” (“Official Circular email”) was

addressed to the Claimant and few other employees, contents

of which is reproduced herein below for ease of reference.

Hi Team,

Further to the several discussion in Meetings earlier, We need to achieve


these agreed timelines and KPIs. The following actions will follow for
compliance and non-compliance.

THIS WILL BE APPLICABLE TO ALL IN THIS MAIL TRAIL.

1. Min 4 closures for quarter are only eligible to incentive for that particular
Quarter.

2. If no / <4 closures for the quarter then it will be considered as below par
performance and tagged under “performance improvement plan”. (For
SHAMINI It is 3 closures till end of June 2020 as she is junior role)

3. Any emails or official notification in WhatsApp group from HR / SM /


Managers have to be acknowledged.

4. Management will observe all individual's initiative and response time of


mail circulation along with the progress of profile submissions on daily basis.

5. Need everyone to send the profiles, call tracker without fail If requested by
SM or Management. For each position, it have to be covered with min of 3
quality profiles.

6. Minimum 2 profiles per day (during MCO) to be submitted either for one
role or different roles.

7. If the numbers are not achieved then the recruiters will be under PIP and
not eligible for incentive. Falling to do so will be considered as non-
performance.

8. If the submission numbers are not achieved for subsequent 5 working days
continuously then they will be tagged under "Performance improvement
plan".

9. PIP will be for a period of one month and if there is no improvement then
it will be a cause for termination without further notice.

22
10. Without 2 qualified CV submissions recruiters are not allowed to logout
unless SM allows. And SM is responsible on those positions to cover up.

11. Going forward, there will be Score card evaluation every month to assess
the month's performance.

12. If any mislead, creating bad reputation about company or sharing


/passing company info out will lead to severe action and proceed with
immediate terminations under Data Protection Act.

It is expected that everyone to read all the points fully, acknowledge this mail
and concur with the guidelines mentioned above.

Management takes serious exception to insubordination. Failing to abide by


these rules will invite appropriate actions by management.

Note: Kindly read and reply back with individual acceptance to me, if any
concerns please feel free to call anytime. Expecting acknowledgement reply
by today without fail. Thanks

[39] The instructions given in the Offiical Circular email was as clear

as day. The Company expected everyone to read and concur

the guidelines stated in the Official Circular email and failure to

abide by the rules will invite appropriate actions by its

management. COW 1 testified that the email was specifically

to those who did not perform up to the mark.

[40] In evidence, the Company had reminded the Claimant to meet

her daily targets via email dated 02nd June 2020, 04th and 05th

August 2020, and in the month of September, the emails of

18th, 23rd , 29th and 30th September 2020.

23
[41] The Claimant was further reminded not to log out till she meet

her daily target of 3 profiles/vacancies as adduced in evidence

vide emails of 04th and 05th August, 18th, 23rd and 29th of

September 2020. In the email of 30.09.2020, COW 1 stressed

to the Claimant that she being a senior resource management

of the Company, 4 joiners were expected of her.

[42] As it was the Company’s requirement that all emails must

contained signature of the sender, the Claimant was advised to

include her signature in her emails vide Company’s email

dated 18th November 2020.

[43] Prior to the Company’s email on 02nd December 2020 notifying

her of her employment termination, the Company in the email

dated 20.11.2020 had instructed her to update her mobile

number in all her emails .

[44] From the trails of emails of the Company to the Claimant

prior to terminating her services, it is noted that there is no

evidence of any email(s) to the Claimant in the month of

October and November 2020 to warn or remind the Claimant

to meet her targets or that she ought not to log out till she

24
meet her targets. The Company did not adduce evidence

regarding the Claimant’s poor performance for the months of

October and November 2020 in their termination of contract

email. The absence of any evidence of her poor performance

during the two (2) months (October and November 2020) implies

that the Company had no evidence of the Claimant’s

continuous poor performance or the Claimant failing to achieve

her targets in October and November 2020 before issuing the

termination of contract email to the Claimant.

[45] The Company had remain silent instead, on the status of her

performance for the months of October and November 2020

when nothing is produced as evidence to show if the Claimant

had failed to meet her targets or if the Company had been

continuously reminding her to meet her target during the two

(2) months.

[46] In this case, because no evidence of the Claimant’s poor

performance was provided for the two (2) months, this

demonstrates that there was no reason for any dissatisfaction

of poor performance or non compliance of the Company’s policy

which otherwise in normal circumstances could had led the

25
Company the reason to issue another warning notice or

reminder to the Claimant.

[47] As such, this Court finds that the decision made by the

Company by issuing the termination notice on 02.12.2020 after

a lapse of two (2) months without any complaints is perverse

and irrational.

[48] In the Industrial Court case of Bruce Dargus v Cloudfx

Malaysia Sdn Bhd [2017] 2 LNS 1253 it was stated by the

Learned Chairman that:

“[24] Even if there was pre-sales target as alleged, it is an

establish principle of Industrial law that an employer cannot

dismiss a worker who is not performing satisfactorily without

first informing him of the mistakes he is alleged to have

made (see : the case of S James v Waltham Holy Cross

UDS [1973] IRLR 202, 204. Furthermore, the worker must be

given the opportunity to correct himself within a reasonable

period and he must be warned of the risk of dismissal if

they are not corrected. The same principle should apply in

this case. On the contrary, the evidence adduced in this

26
case including the copies of the e-mail correspondences did

not show an agreement that there was a pre-sales target”.

[49] In the case of Rooftech Sdn Bhd v Holiday Inn, Penang

[1986] 2 ILR 818 (Award No. 166/86) the Court stated :

“Inefficiency which discloses a course of negative conduct no

doubt is a sufficient ground for termination but there must

necessarily be sufficient proof that a procedure has been

followed. Ordinarily there must be sufficient written

communications to the Claimant in order to establish

inefficiency or poor performance before the Company can

rely on it to justify dismissal. The Company has failed to

do”.

[50] Further in the later case of IE Project Sdn Bhd v Tan Lee Seng

in Award No. 56/87, the Learned Chairman P S Moorthy

articulated as follows:

“If an employee is not measuring up to his job, it may be

because he is not exercising himself sufficiently or it may

be because he really lacks the capacity to do so. An

employer should be very slow to dismiss upon the ground

27
that the employee is found to be unsatisfactory in his

performance or is capable of performing the work which he

is employed to do without first telling the employee of the

respects in which he is failing to do his job adequately,

warning him of the possibility or likelihood of dismissal on

this ground and giving him an opportunity of improving his

performance”.

[51] I wish to reiterate what was stated by the learned Chairman in

Ireka Construction Berhad :

“It would appear from the above authorities that a written

warning by the company is essential before it can dismiss

the claimant on the ground of poor performance, in the

instant case it is not disputed that the claimant was never

given a written warning but the company alleges he was

given oral warnings which were adequate. That being so,

the burden lies on the company to adduce convincing and

compelling evidence to prove this”.

[52] The Company in its pursuit to establish the poor performance

of the Claimant had only referred to the results in the month

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of June, August and September 2020 but not October and

November 2020.

[53] The principle from the above authorities is clear. A written

warning is essential to be given to an employee and without

such warning, an employee would not have known that his

employer is dissatisfied with his work performance. Invariably,

an employer must be slow to act to dismiss his employee upon

having known that the employee’s performance did not meet

the standard required of him without indicating to the employee

in writing that he runs the risk of being terminated from his

employment if no satisfactory results is achieved within the

sufficient time given to him to improve. This has failed to take

place in the instant case as evident in the months of October

and November 2020 where the decision by the Company to

issue the termination notice to the Claimant had override any

written warning or a proven verbal warning.

[54] The another pertinent issue in this case is premised on the

Official Circular email which COW 1 in his evidence stated that

the Official Circular email was directed to the poor performers

that included the Claimant.

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[55] The focal point in the Official Circular email is the Performance

Improvement Plan (PIP) found in clause 7, 8, 9 and 11

reproduced earlier above. Under clause 7, 8 and 9, the

recruiters will be placed under one (1) month of Performance

Improvement Plan (PIP) if the recruiters failed to achieve the

numbers of profiles set or the submission numbers are not

achieved for subsequent 5 working days and if still no

improvement on the performance during the PIP month, it can

be a cause for termination. Under clause 11, there will be a

Score Card evaluation every month to assess the month’s

performance of the recruiters.

[56] Premised on the guidelines of the Official circular, the Company

was supposed to follow the guidelines to place the Claimant in

the PIP and subsequently conduct a score card evaluation on

monthly basis in order to drive a message to the Claimant that

she is not performing up to the expectation required of her and

that sufficient opportunity is being given to her to improve on

her performance.

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[57] By the Company failing to comply each steps in accordance

with clause 7, 8 and 9 of its given guidelines to the Claimant,

it is clear that the Company had prejudiced the Claimant.

[58] It is the Court’s findings that despite the Company’s strong

emphasis in the Official Circular which expressly stipulates that

“Failing to abide by these rules will invite appropriate actions

by management” the rules in clause 7, 8, 9 and 11 was never

followed and enforced by the Company and no explanation

was given why such rules were not followed before the

dismissal. Hence, such action can only be deemed to be one

which is prejudicial to the Claimant. The Company had acted

in haste in terminating the Claimant’s employment by skipping

the rules that had been implemented prior to the dismissal.

[59] The other issue raised by the Claimant in her pleading and

in her testimony is in relations to the allegations of sexual

harassment from COW 1 where the Claimant claimed that

there were many instances where COW 1 orally invited the

Claimant to have dinner after working hours which she had

rejected every time. This Court however finds the issues

surrounding the allegation of sexual harassment to be irrelevant

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in regards to the Claimant’s claim. Nevertheless, the Court

finds that observing from the demeanour of the Claimant when

answering the questions in relation to the inappropriate conduct

of COW 1, the Court is more inclined to believe the Claimant

and find her evidence that she had been invited to have

dinners by COW 1 after working hours to be highly probable.

[60] On the contrary, this Court does not accept as truth COW 1’s

explanation that posting the pouting mouth and heart love

emoji to the Claimant to be a normal fun emoji and had

been used in official office WhatsApp group as there was

no evidence that it was commonly used in the WhatsApp

group. Therefore, this might shed some light to suggest why

the Claimant was terminated without the Company adhering

to its own guidelines.

[61] On the issue of losses suffered by the Company as a result

of the Claimant misusing the Jobstreet portal causing the

Company to loose RM137,000 and discovering that the data

in the laptop given to Claimant had been completely erased

which also caused losses to the Company, are also irrelevant

as the were not the grounds for termination. Be that as it

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may, no solid evidence was adduced to support the claim

for the losses incurred by the Company.

[62] Coming back to the real issues at hand, based on the findings

made on the allegations levelled against the Claimant, there

is a fatal flaw in the Company’s action which led to the

Claimant’s dismissal without just cause or excuse.

Remedy

[63] Given that this Court has found the Company to have

dismissed the Claimant without just cause or excuse, the next

consideration in respect of the Claimant’s interest will be to

determine the proper remedy that is appropriate to the Claimant.

It is not disputed that the Claimant is a confirmed employee

and to reinstate the Claimant to her former position is totally

out of the question considering the fact that the Claimant had

after the dismissal went back to her home country and currently

residing and working in Canada. I therefore agree with the

learned counsel for the Company that compensation in lieu of

reinstatement would be more suitable which in this case shall

be one (1) month by taking one (1) month for each completed

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year of service as the tenure of the Claimant’s employment

was only up to 01.02.2021.

[64] In the Claimant’s letter of Appointment as Talent Acquisition

Specialist, the duration of her employment is stipulated to be

two (2) years though the Company was desirous to continue the

Claimant’s employment to be longer. The learned counsel for

the Company submitted that, on that basis, the Claimant had

a remaining five (5) months of employment before her contract

of employment expires by end of June 2021. Again, I find

the Company’s argument on this point to be justified.

[65] It was in evidence that the Claimant had found employment

as a freelance in Malaysia for the period between January to

June 2021 before she returned to Philippines.

[66] The Court is bound by the principle laid down in the case of

Dr James Alfred (Sabah) v Koperasi Serbaguna Sanya Bhd

(Sabah) & Anor [2001] 1 MELR 17; [2001] 1 MLRA 305; [2001] 3

CLJ 541 to take into account post dismissal earnings of the

Claimant by making appropriate deductions from the backwages

awarded by the Court. In this case, the Claimant admitted to

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have worked as a free lance from January to June 2021. Taking

into consideration that income from free lance jobs may not

provide a steady income as a permanent employee, a lesser

deduction from the backwages would still be required and in

this case 15% is deemed to be reasonable and fair.

[67] Based on the above reasoning and acting in equity and good

conscience, this Court awards the Claimant as follows:

(a) Backwages

RM5,850 x 5 months = RM29,250.00

Less 15% = RM4,387.50

(b) Compensation in lieu of reinstatement i.e. one month

salary for every completed year of service

RM5,850.00 x 1 months = RM5,850.00

Total = RM30,712.50

Final Award

[68] It is this Court’s Order that the Company shall pay the Claimant

an Award sum of RM30,712.50 (Thirty Thousand Seven Hundred

35
Twelve And Fifty Cents Only) less statutory deductions (if any)

to the Claimant’s solicitors Messrs Jamie Wong.

HANDED DOWN AND DATED THIS 7TH DAY OF JUNE 2023

-Signed-

(AMRIK SINGH)
CHAIRMAN
INDUSTRIAL COURT, MALAYSIA
KUALA LUMPUR

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