Research Methodology Assignment: Unfair Employee Dismissal in Malaysia

This research methodology assignment examines the issue of unfair employee dismissal in Malaysia. The assignment begins by introducing the topic and justifying its significance using supporting facts and figures, including legal cases and statistics from the Industrial Court of Malaysia. The first section introduces the research topic and justifies its selection using facts and figures, focusing on the Malaysian business environment. The assignment then formulates a problem statement, research objectives, and research questions to analyze the factors influencing unfair employee dismissal. The second section develops a research proposal, including a literature review, theoretical framework, methodology, research schedule, and estimated costs. The research aims to bridge the gap between literature and real-life information, identify the factors, and explore ways to minimize the negative impact of unfair dismissals in Malaysia, while also adhering to Malaysian laws and regulations. The research utilizes both primary and secondary data to gain a comprehensive understanding of the issue.

Research methodology
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Contents
TASK 1............................................................................................................................................3
Introduction..................................................................................................................................3
Topic............................................................................................................................................4
Problem statement........................................................................................................................4
Facts and figures supporting existence and significance of problem statement..........................4
Research questions and objectives...............................................................................................7
Explaining why it is important to do the research.......................................................................7
TASK 2............................................................................................................................................8
Problem statement, research objectives and research questions..................................................8
Literature review..........................................................................................................................9
Theoretical framework...............................................................................................................13
Methodology..............................................................................................................................14
Research project schedule..........................................................................................................18
Estimated cost............................................................................................................................20
REFERENCES..............................................................................................................................21
.......................................................................................................................................................22
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TASK 1
Introduction
Unfair employee dismissal is a concept in which employees are fired from their workplace
without any fair grounds (Moorthy and et.al. 2015). The main aim of conducting this research is
to develop an understanding regarding analysing a research problem based on actual facts and
figures. For completion of this aim, the present investigation report is divided into two sections.
The first section is dedicated to introduce the research topic and then justifying the selection of
that topic using actual facts and figures. The area of research is defined as Malaysia which
implies that the business environment of Malaysia will be investigated to identify the current
issues which employees of organisations of Malaysia are facing due to the rising practice of
unfair employee dismissal.
In the second section of this report, a research proposal will be developed using the topic
justified in section one. This research proposal will include literature review that will have the
point of view of various authors along with the critically evaluation of their thoughts. In section
will also include the theoretical framework for unfair employee dismissal in organisation and a
well-developed research methodology. This section will also have a Gantt chart that will present
the schedule of research project clearly. Lastly, for monetary resources, a budget will be
developed having cost expenses which will be incurred while undertaking the research.
Topic
“Factors that influence Unfair Employee Dismissal in Malaysia”.
Problem statement
Unfair employee dismissal is an activity in which employees are dismissed without having
fair or sufficient reason. This activity is a concept which is based on discriminatory grounds of
age, race, cast, culture, sex and many others (Rosdin and Husziabidi, 2013). This action of unfair
employee dismissal has been faced by employees at their workplace which results in their
unemployment. The activity of unfair employee dismissal has resulted into a major problem for
today’s business environment as the employees who are the victim of unfair dismissal lost their
jobs and do not have a sufficient chance to proof their dismissal as unfair. As it is known that it
is important for every organisation must have disciplinary meetings and investigations prior to
dismiss an employee but due to corruption and favouritism, innocent employees are dismissed
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without giving them a sufficient cause. The problem of unfair employee dismissal impacts
mental condition of employees and their financial status also suffers. This practice of dismissal
results into poor financial stability of their employees and their families. At both macro and
micro levels, the activity of unfair employee dismissal is a major problem for employees,
organisations and even for the society and business environment.
Facts and figures supporting existence and significance of problem statement
In order to prove the existence of unfair employee dismissal in Malaysia, it is important to
investigate the legal cases filed in Malaysia complaining about this issue. Considering this, the
source of a report authored by Dr Roy Prasad can be observed. According to this report, eight out
of every ten cases which are reported to Industrial Court of Malaysia are related with the
wrongful dismissals of employees. In this report, few facts are being highlighted according to
which in 2016, there were total of 1340 cases of unfair dismissals in Malaysia and it has been
also reported that there are hundreds of cases which are not even reported or filed due to privacy
reasons of victimised employees (Mohamed, Mohamed and Baig, 2016). It has been also
analysed that not only the small companies but the large reputable companies are also engaged in
unfair employee dismissals. For the backing up of this evidence, a case of Murphy Sarawak Oil
Co Ltd can be considered. This company is a large scale and prestigious company which was
observed to be engaged in wrongful dismissal activities; this case resulted in award of RM 1.2
million that lead to the being a milestone case. There are various laws and legislations which are
developed in Malaysia that work to eliminate the situation of unfair dismissals but regardless
such cases are observed to be continuously increasing in Malaysia (Winning against employees
on wrongful dismissal, 2019).
According to Donovan Cheah, there are ample instances in Malaysia in which employees
receives a one-month notice of termination. It must be considered that providing a sufficient
notice is not a justification of unfair dismissal; specially not in Malaysia as this country has an
employment law regime which does not recognise the concept of “at will employment”. The
need of a reform which can redesign the employment protection eights is argued every now and
then (Ismail, 2018). This continuous argument is an evidence which shows that there is not only
an existence of unfair employee dismissal but the practice of such activity has been seen at a
great extend which has impacted the employment of this country. This published article by the
author also argued that the problem of unfair employee dismissal does not need the new
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reformed laws but there is a need to strictly follow the laws which are already present in the legal
system of Malaysia (Malaysia - Unfair Dismissal In Malaysia – Is There A need For Reform?
2017).
The article of Donovan & Ho (2016) provides valid statistics which evidently provides
proof that the practice of unfair employee dismissal is practiced in Malaysia at a larger range.
Donovan has summarised that on an average there are 1700 unfair dismissal cases in Malaysia
every year which are registered with Industrial court. When a crime is being practiced 1700
times in a country, it can be said that the country requires new and improved laws regarding
employee dismissal so that the interest of employees can be saved. In addition to this, the most
cases related to unfair dismissal in Malaysia involves employees who are dismissed due to their
misconduct in their workplace (Statistics on Unfair Dismissal Claims in Malaysia, 2016). From
the article of Donovan, an infographic has been sourced that helps in analysing the unfair
dismissal in Malaysia; the infographic is attached below:
(Source: Statistics on Unfair Dismissal Claims in Malaysia, 2016)
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From the infographic above, it can be seen that the highest cases of unfair employee
dismissal registered in Malaysia were recorded in 2006 with 3000 cases. The common causes of
dismissal of employees claimed by workplaces are misconduct of employees, retrenched and
constructive. Another proof by which it can be evidently said that Malaysia has high number of
unfair employee dismissal cases is their industrial court charter which is dedicated for disposing
off the unfair dismissal cases. The Industrial court’s charter dispose of the cases of unfair
dismissal within the 16 months of the registration of that specific case. This Charter is also
responsible to provide an award to the victim within 3 months from the last submission (Fazilah,
Mohamad and Hamid, 2019).
There must not be ample compensatory policies if there were no or negligible cases of
unfair employee dismissal in Malaysia. There are two types of monetary remedies available to
victims of unfair dismissal; these remedies are specially dedicated for such victims. If there were
not many cases of unfair dismissal in this nation, there would not be remedies for such crime,
this provides evidence and justification that the topic of unfair employee dismissal is Malaysia is
important. These monetary remedies states that there will be maximum 24 months back wages
provided to the victims. Second monetary remedy states the compensation in lieu of
reinstatement will be provided to the victims. In this remedy, the one-month salary for every year
of service will be provided (Ling and Dhillon, 2018).
Above evidence including facts and figures are the evidence to prove the existence of
unfair employee dismissal in Malaysia.
Research questions and objectives
Aim:
“To analyse the factors which influence Unfair Employee Dismissal in Malaysia”.
Objectives:
 Analyse the concept of Unfair Employee Dismissal.
 To identify the factors that influence Unfair Employee Dismissal within Malaysia.
 To determine the ways by which negative influence of Unfair Employee Dismissal can be
minimized.
Questions:
 What is the concept of Unfair Employee Dismissal?
 What are the factors that influence Unfair Employee Dismissal within Malaysia?
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 How negative influence of Unfair Employee Dismissal can be minimized in Malaysia?
Explaining why it is important to do the research
The unfair employee dismissal in Malaysia is a major problem for the interest of employee
of this nation but the workplaces of Malaysia are in denial of such practice stating that when
employees are being dismissal, they are dismissed due to misconduct or retrenched and not
because of the unfair practices. In order to gain a clarity on this process, it is important to
undertake an investigation in which factors impacting the unfair employee dismissal can be
identified.
The most important reason of conducting this research is to bridge the gap between the
literature information and the real life information about the impacts of unfair dismissal on
employees. The data which is collected from the point of views of experts and authors is the
secondary data which is inclusive in nature due to which it lacks the implications to Malaysia.
This investigation is conducted so that the gaps in literature can be bridged by conducting a
primary investigation as well. Another reason of this research is to gain the understanding about
the field of unfair employee dismissal. This investigation will enhance the perspective and
knowledge area of researcher which will help the researcher to be an expert in this field. This
research will help in identify the causes due to which the practice of unfair employee dismissal is
increasing the Malaysia along with the factors which impact this process. By removing the
bridge of literature review and primary experience, investigator will gain a wider perspective
regarding the individual issues which are faced by the employees who are dismissed from their
workplace due to an unfair justification. When an employee is dismissed, there is a process to be
followed by the organisation and if that process if not followed then that dismissal is justified as
unfair dismissal. This process will be discussed in this investigation due to which the conduct of
such research is justified (Zhang and et.al, 2017).
Another reason of conducting this research which can help in justify this study is the
inclusive nature of this paper which will help the learners and readers of this paper to gain wider
knowledge regarding the factors that impact unfair employee dismissal and the ways by which
the negative influence of unfair dismissal can be eliminated and reduced in Malaysia. This study
paper is based on the practices and legislations of Malaysia due to which it holds wider
importance of the readers of Malaysia who intend to pursue the reason due to which an employee
is unfairly dismissed from their workplace.
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TASK 2
Problem statement, research objectives and research questions
Problem statement:
The basic problem statement which is proposed to the investigated in the research is “To
analyse the factors which influence Unfair Employee Dismissal in Malaysia”. The scope of this
research is limited to the practice of unfair dismissal of employees in the region of Malaysia only
where the legislations and laws of Malaysia are implemented. This problem of unfair dismissal
has been observed to highly practiced in Malaysia and the recent laws of Malaysia controlling
this practice is the evidence of the existence of practice of unfair dismissal in the region of
Malaysia. This problem of unfair employee dismissal is faced by high number of employees in
Malaysia as the legal compliances restricting this practice are not strict.
The factors which motivates the investigator to conduct this research and to select this
problem statement is the ease of accessibility of unfair employee dismissal cases. It has been
already discussed in the first task of this report that on an average nearly 1700 cases are
registered with the Industrial court of Malaysia related to unfair employee dismissal. All these
cases are mandatorily being resolved in 16 months due to which, there is ample real life case
material that motivates the investigator to investigate the current problem statement. Along the
easy accessibility of the data, another aspect which interests the investigator about this research
problem is its exclusivity for Malaysia which will help in gaining specific and accurate results
due to having less population of the research.
The selected problem statement has one dependent variable which is unfair employee
dismissal. Apart from this, the independent variables of this proposed study is the factors which
influence the unfair employee dismissal. Using these dependent and independent variables,
research objectives and questions are developed that will be used as a base for literature review
and the primary investigation. The problem statement which is proposed in this research proposal
is intended to be achieved through the achievement of the research aim and objectives devised
below:
Objectives:
 Analyse the concept of Unfair Employee Dismissal.
 To identify the factors that influence Unfair Employee Dismissal within Malaysia.
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 To determine the ways by which negative influence of Unfair Employee Dismissal can be
minimized.
Questions:
 What is the concept of Unfair Employee Dismissal?
 What are the factors that influence Unfair Employee Dismissal within Malaysia?
 How negative influence of Unfair Employee Dismissal can be minimized in Malaysia?
Literature review
 What is the concept of Unfair Employee Dismissal?
According to Themistocleous, (2019), In the business environment, many organisations
are running their business with the help of employees as they understand the role and
responsibilities of themselves and perform well. Now, employees are facing a very serious issue
that is Unfair Employee Dismissal that means an act which is uses by top authorities for the
purpose of removing the employees without assigning the valid reason. This is important for
organisation to provide the valid reasons to employees if they are going to remove the person.
The concept of Unfair Employee Dismissal says that it is a complex area of employment law but
employer of every organisation should be understand that they are now allow to fire the
employee if they have not done wrongly act. If organisation is doing so then employees are
allowed to make an application to the Fair Work Commission for reinstatement that means
getting the job back. Moreover, compensation should also provide to people who are fired
intentionally. All employees and employer bother are the main assets of organisation who are
preforming different roles and responsibilities in order to perform well and attaining the business
goals. In an organisation if employee is suspected to have major misconduct then it is considered
as Unfair employee (Dismissal Pärli, & Vögtli, 2020). In Malaysia and other connected areas no
companies are allowed to terminate and remove the employees direct as it is required to give first
notice period and then compensation so it can manage their work and respond properly. This
type of practices in relation to employees in Malaysia which can help to manage the
organisational image and capabilities appropriately. It has been noticed that sometime
organisation started to remove the employees due to not having production, low sale, low
profitability and saving the cost so a solid strategy is planned by superiors for reducing the
number of employees by giving them notice of relieving and terminations. This is negative
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process which may create the conflicts between employees and organisation which reduces the
productivity. Due to dismissal of employees from the organisation created the difficulties of
finding new jobs and also increases the rate of employment in Malaysia.
 What are the factors that influence Unfair Employee Dismissal within Malaysia?
As per the views of Marcus van Geyzel (2016), Direct and constructive dismissal are the
two basic branches of dismissal of employees which are applying by organisation in order to
terminate the staff who are working within organisation. In direct dismissal straightforward
situation is involved where employer decided to close or end the relations of employment
between employer and employees by giving the letter of termination and removing. The another
dismiss is less straightforward that covers a variation clause and allows the employer to
unilaterally vary the terms of employment and make the decision of removing the staff.
Moreover, employers make decision to breaching the contracts in case of unilaterally changing
term of contracts. For example, Murphy Sarawak Oil Co Ltd that is larger size organisation is
running their business by selling the oil in different countries and places by understanding
demand and expectations. From last years the selling activities and performance of organisa6tion
is going to be down so it wants to reduce the cost for saving expenses. The management of such
organisation have decided to fire the employees by using direct dismissal in which it terminates
the staff by giving a notice. This can create the rate of unemployment in Malaysia and needed to
be manage the unemployment rate. According to laws of Malaysia no employer is allowed to
terminate the employee without any valid reason and also required to give at least one-month
prior notice. Moreover, it has to provide the salary of leaving month so it can manage the its role
find option to work any other workplace. In businesses, employer has power and authority to
make decision what need to do, how and why that can help to run the business and increase the
productivity. The owner has authority to hire and fire the employees on the basis of their abilities
and personal aspects which can affect the business and reduce the profitability. It has been seen
that in environment in relation to a business many factors are arises which influences the Unfair
Employee Dismissal in Malaysia. The factors are Improper investigatory and disciplinary
meetings, Lack of consideration of alternative sanctions, not setting out the nature of the
accusations to the employee and Lack of consideration of alternative sanctions that can
influences the employees’ unfair dismissal.
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According to Sonnenstuhl, (2019), improper investigation an organisation is making the
decision of dismissal which is not appropriate. A minor and small investigation of misconduct of
employee are not allowed by organisation to make an investigation. In this managers should be
satisfied that they made a proper investigation which is sufficient. In this organisation need to
follow the procedure of investigation according to the Acas code of practices. If an employee
who is working in organisation is not able to perform well and mentally disable to work, then
employee dismissal influenced and manager make decision to terminate. The performance of
employees considering factors that affect the unfair employee dismissal and remove the
employees. According to this, workers who are working in an enterprises are work fairly and
make efforts to perform well which can help to increase the business performance and
profitability. If they are not working well then dismiss letter is given to unperformed employees.
In this situation, organisation is not allowed to adopt unfair employee dismissal practices.
On the other side, not setting out the nature of the accusations to the employee is
influencing factor that influences the unfair employee dismissal. In this employer of organisation
should ensure that disciplinary procedure considered accusation put to the staff who are working
from the outlet. According to this, homosexuality is another unfair and discriminatory practices
that was found by chosen organisation and influences the unfair employee dismissal.
Qualification is highly important for organisation which can help employees to accept the
changes, challenges and formulating new policies for the welfare of business. This can help to
increase the performance by bringing new activities and performance in relation to activities and
managing all task appropriately. In case of qualified and experienced employees are working in
organisation by following all regulation for operating a business are dismissed which are unfair
employee dismissal because such employees are demanding promotion and higher
responsibilities (Nechanska, Hughes, & Dundon, 2020).
According to khamis Soliman, and et. al., (2019) another factor is lack of consideration in
relation to alternative sanctions in which the owner of business is required to consider what
sanction is appropriate where decisions do not need to take from starting process that is
inappropriate. As per this factor the gross misconduct of employee is not treated automatic
justification for termination. In this case, Tribunal is required that employer should be consider
all facts and sanctions which are imposed in each case. The employer of organisation should be
focus on all factors that make dismissal such as mitigating factors, length of service, normal
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behaviour and conduct etc. In Murphy Sarawak Oil Co Ltd, employer is playing a major role
who analysis the all the discussed factors assigning task among between employees and evaluate
the performance which can help to make the right decision of removing. The management of
such organisation has observed that some employees are not behaving properly and formally due
to which all relations with customers and selling activities are going to be down and affected the
business negatively. If employees are conducting working activities in wrong manner, then
employer of Murphy Sarawak Oil Co Ltd is allowed to terminate and remove employees under
retrenchment act. In this, case, employer has to give a proper letter or notice of removing
organisation procedural. Therefore, a discussion about influencing factors to unfair employee
dismissal that are adopting by organisation in order to terminate employees (Robert and et. al.,
2020).
Different ways in which the negative influence of employee dismissal can be minimized
in the organizations. These are as follows-
Due to employee dismissal, there can be a negative influence which is created on the
other staff members of the organization (Mohajan, 2018). This can lead to creation of impact on
the overall performance of the different employees in a particular company. Thus it becomes the
responsibility of the HR department to make sure that it is able to reduce this negative impact in
the company which will create positivity in the company and it will be able to function in a
proper manner. With the use of proper counselling techniques, this negative influence can be
reduced to a great extent. The problems which the employees are facing in the company can be
identified and proper action can be taken in order to resolve them in a highly effective manner. In
Murphy company the HR department can consider making use of counselling for the purpose of
reducing the negative influence of employee dismissal. Also in the companies there must be
motivation sessions for the existing employees so that their morale and level of motivation can
be raised and they do not feel the negative influence of employee dismissal. There can be
arrangement of seminars for the workers in which they can be motivated to enhance their level of
performance in an effective manner (Jimeno, Martínez-Matute, & Mora-Sanguinetti, 2020).
Therefore, in Murphy Company this can be very much helpful for the purpose of minimization of
negative influence of employee dismissal. Also certain new policies can be announced for the
workers by the HR department of the company so that the negative impact created by employee
dismissal can be minimized. In Murphy company, the HR department needs to make sure that it
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