Can Malaysian employees sue their employers for damages in civil courts?

Can Malaysian employees sue their employers for damages in civil courts?

#Employee#IndustrialCourt#Damages#CivilCourt


Are you feeling wronged because you were terminated without good reasons?


Do you feel like suing your Employer for money (damages) in the Civil Court? Can you do that?


Yes, you can. But, what you may get from your Employer is limited.?


The Court of Appeal in 7-Eleven Malaysia Sdn Bhd v Ashvine Hari Krishnan explained this.


In a Civil Court, you are only entitled to claim money (damages) for the following (note: only when you are terminated immediately; without having committed a misconduct):


  • Payment of the notice period in your Employment Contract.
  • Other payments agreed between the Company and you in the Employment Contract. For example, EPF, allowances, commissions etc.


But, you cannot sue the employer for money (damages) for:


  • Wrongful termination or loss of employment.
  • Wounded feelings or loss of reputation.
  • Injury to emotion, conspiracy to terminate your employment.
  • And, loss of earnings or future income.


It is only the Industrial Court that can hold an Employer liable to reinstate your employment or, pay compensation in lieu of reinstatement (generally, one (1) month salary for every completed year of service).


And, order the Employer to pay back-wages of your last drawn salary (24 months, maximum) if the termination is unlawful.


TLDR: Go to the Industrial Court. Lodge your complaint within 60 days of termination (no extensions are allowed!). Otherwise, you risk your damages being limited in the Civil Court. It may be also be struck-out by the Civil Court as being an abuse of process.

Good Tldr!

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