Understanding Unfair Dismissal in Malaysia: Your Rights and Remedies
- Employment Law Malaysia
- 3 hours ago
- 3 min read
BY EMPLOYMENT LAW MALAYSIA

Understanding Unfair Dismissal in Malaysia: Your Rights and Remedies
Unfair dismissal in Malaysia is a serious issue that affects thousands of employees every year. If you believe you have been subjected to wrongful termination, it is crucial to understand your rights under Malaysian employment law. This comprehensive guide will walk you through what constitutes unfair dismissal, the legal protections available to you, and how you can take action to claim justice.
What is Unfair Dismissal in Malaysia?
Unfair dismissal in Malaysia occurs when an employee is terminated from their job without just cause or excuse. Under Section 20 of the Industrial Relations Act 1967, employees who have been unfairly dismissed can lodge a complaint with the Industrial Relations Department.
Common grounds for wrongful termination include:
Retrenchment without following due process
Dismissal based on discrimination (gender, race, religion)
Dismissal without conducting a domestic inquiry
Forced resignation (constructive dismissal)
Termination without giving the employee an opportunity to be heard
Legal Framework Governing Unfair Dismissal in Malaysia
The main statutes governing unfair dismissal in Malaysia include:
Industrial Relations Act 1967
Employment Act 1955
Contracts Act 1950
Employees covered under these laws have the right to seek redress through legal channels if they are wrongfully terminated.
How to Determine If You Were Wrongfully Terminated
You may have a case for unfair dismissal if:
You were terminated without a valid reason.
Your employer did not follow proper procedures, such as conducting a domestic inquiry.
You were terminated for discriminatory reasons.
You were forced to resign due to unbearable working conditions (constructive dismissal).
Filing an Unfair Dismissal Claim in Malaysia
Here are the steps to file a wrongful termination complaint:
Lodge a Complaint: File a complaint with the Industrial Relations Department within 60 days of your dismissal.
Conciliation Meeting: Attend a conciliation meeting arranged by the Department to try and resolve the dispute amicably.
Industrial Court Hearing: If no settlement is reached, the case may be referred to the Industrial Court for adjudication.
Legal Representation: Engage an experienced employment lawyer to assist you with your unfair dismissal claim.
Remedies for Unfair Dismissal
If the Industrial Court finds that you were unfairly dismissed, it may award remedies such as:
Reinstatement: Ordering your employer to reinstate you to your former position.
Back Wages: Compensation for lost income from the date of dismissal to the date of the Industrial Court award.
Monetary Compensation: If reinstatement is not feasible, the court may award compensation in lieu of reinstatement.
Importance of Hiring an Employment Lawyer in Malaysia
Navigating an unfair dismissal claim can be complex. Engaging a skilled employment lawyer in Malaysia can help ensure:
Accurate legal advice
Proper filing of claims and evidence preparation
Strong representation during negotiations and hearings
An employment lawyer can dramatically increase your chances of success in an unfair dismissal claim.
Frequently Asked Questions About Unfair Dismissal
1. How long do I have to file an unfair dismissal claim in Malaysia? You must file your complaint within 60 days from the date of your dismissal.
2. What evidence do I need for a wrongful termination claim? Important evidence includes your employment contract, termination letter, internal communications, and witness testimonies.
3. Can foreign workers file for unfair dismissal in Malaysia? Yes, foreign workers have the same rights to claim unfair dismissal under Malaysian law.
Conclusion
Unfair dismissal in Malaysia is a violation of employee rights. If you believe you have been wrongfully terminated, do not hesitate to seek legal assistance. Understanding your rights under Malaysian employment law and taking timely action can make a significant difference in achieving a fair outcome. If you need help with your wrongful termination case, contact a trusted employment lawyer in Malaysia today.
For more information about unfair dismissal, wrongful termination, and employment rights in Malaysia, stay connected with our latest updates and legal insights.
Contact us today for a free consultation via WhatsApp (+6011-1630-0091) or email (general@employmentlawmalaysia.com) for expert advice tailored to your employment needs.
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