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Question 1 Faiz was employed by MTD Holdings as a legal officer in 2015 before he was promoted to Senior Legal officer in 2017.
Question 1 Faiz was employed by MTD Holdings as a legal officer in 2015 before he was promoted to Senior Legal officer in 2017. In 2019 he was again promoted to be the General Manager of Bayu TD Sdn Bhd, a subsidiary of MTD Holdings. In 2021, Faiz received a show cause letter from the company alleging misconduct relating to the purchase of six units of industrial printer for the price of RM55,352.00. The company claimed that the purchase was made without getting the required quotations and without the approval of the Procurement Committee, which is required for any purchase above RM50,000 and thus causing loss to the company. Faiz answered the show cause letter denying that he approved the purchase, but the company did not accept his explanation and proceeded to issue a notice of inquiry and suspended him for a period of 14 days. Faiz later attended the domestic inquiry and pleaded not guilty to the charge against him. However, three days after the inquiry, Faiz received a letter informing him that he was demoted to the position of Senior Legal Officer, his salary is reduced by RM2,000 and the benefits that were given to him as General Manager will be withdrawn. Faiz made an appeal against the company's decision. He claimed that the domestic inquiry was not done properly as he was never shown the evidence that the company had against him, nor was he allowed to question the witnesses. Therefore, the company was wrong in finding him guilty of the alleged misconduct and he should not be punished. He insisted that his original position and benefits be restored, failing which he will file a claim for constructive dismissal. The company nevertheless rejected his appeal and insisted that he reported for duty as Legal Officer with immediate effect or he would be terminated. Based on the above scenario, answer the following questions: a. Assume that you were the HR Manager in Bayu TD Sdn. Bhd. Write a legally correct show cause letter that the company will issue to Faiz. You may make any necessary assumptions to assist you in preparing the letter. b. Faiz claimed that the domestic inquiry carried out against him was not done properly. What effect would this have on the outcome of the case between Faiz and the company in the Industrial Court? c. Based on the scenario and the relevant law, discuss whether Faiz would be successful in his claim for constructive dismissal. Question 2 You are the Human Resource (HR) Manager in a company. One of your responsibilities is handling disciplinary cases that happen in your organization. Last week Latifah Latif, the Head of the Finance Department, filed an official complaint about one of her executives. She wrote that this employee, Suhadi, was often late in submitting his work, is rude to other colleagues and recently he was absent from office without authorization for one day. When Latifah called Suhadi into her office to counsel him and get an explanation for his absence, Suhadi reacted angrily and shouted at Latifah. Suhadi said that Latifah was heartless in wanting to punish a sick employee. Suhadi claimed that his poor performance is due to his health condition and his recent absence was due to that illness, but he was unable to produce any medical certificate as he had sought alternative treatment instead of going to the doctor. When Latifah asked for other evidence to back up his claim of health problems, Suhadi chose to keep silent. Suhadi also insisted that it is his right to behave however he likes as long as his work is done. In his own words, "I'm here to work, not to party and be nice to people". Suhadi also challenged the company to include 'be nice' in his job description if Latifah wants him to behave more civilly with his colleagues. Latifah requested that HR take the appropriate disciplinary action against Suhadi before the situation becomes worse. Based on the above scenario, answer the following questions. Your answer must be based on the accepted legal principles and case laws relating to discipline in the workplace. a) Identify and explain TWO (2) misconducts that Suhadi has committed. b) Discuss in detail the actions and procedures that HR should take to handle the two misconducts that have been identified above. c) Assume that the company found Suhadi guilty of the misconduct following the outcome of the disciplinary process. Propose the appropriate penalty that the company should impose on him. Justify your answer. Question 3 On 20th November 2023, two workers in a semi-conductor factory were given a 24-hours termination notice for gross misconduct despite their protest and claim of innocence. The next morning, out of sympathy and to show their objection against the management, twenty workers came to the factory but refused to start work. They demanded that the management reinstate their two friends and conduct a proper investigation before taking any action. The management refused to listen to their demand and instead gave all twenty workers strict orders to go back to work or face disciplinary action if they still refuse. The twenty workers nevertheless continue to assemble in front of the management office and have even brought tables and chairs to block the entrance to the Floor Manager's office. They did not return to their workstation at all the whole day. On the third day the management issued termination letters to all twenty workers for their action. The workers now claimed that they had been victimized by the company and that they were only exercising their rights to stop work as given by the law. Based on the above scenario, discuss whether the industrial action taken by the workers complies with the Industrial Relations Act 1967 and subsequently whether their dismissal by the company is justified.
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