Employee Grievances & Absenteeism

• Effective systems of taking disciplinary action is important
• There are problems related to the transfer of workers
• There are criteria when promoting workers
• There are methods for handling employee grievances
• Dealing with absenteeism is important
• The Industrial Court can be involved in the termination of an employee's contract
• The fixed-term contracts affect employment differently
• The issues of resignation and retirement are important
• Redundancy has causes and recommended procedures for retrenching workers
• There are appropriate dismissal procedures used in cases of misconduct and poor performance
• Employers have rights to terminate employment contracts

Disciplinary Systems

• A disciplinary system must be fair and just
• In a fair disciplinary system, employees know the rules, and what they can and cannot do
• When employees behave inappropriately, they must be punished
• The purpose of such punishment is to change the employee's behaviour
• Punishment also warns other employees that unacceptable behaviour will not be tolerated

Penalties

• When employees commit misconduct, they may be penalized
• Penalties that may be imposed include:
• Oral warnings
• Written warnings
• Suspension without pay
• Demotion or downgrading
• Dismissal

Potentially Problematic Issues

• Transfer is a lateral move of an employee from one job to another, or from one department to another, or from one site to another

Transfers

• Employers transfer employees to fill vacancies for experienced workers
• Transfers also solve people problems
• Employees are sometimes transferred to provide training
• Employees may request transfers for personal, non-work-related reasons
• Transfers may also give employees the opportunity to learn and overcome boredom

Transfers (Cont.)

• Transfer is a managerial prerogative
• Employers have the right to transfer an employee, subject to:
• Any express clause in the contract of employment
• The business reason must be legitimate
• The transfer reason must not be for harassment or victimization
• The transfer must not detrimentally affect the employee's terms / conditions of employment

Promotion of Employees

• Promotion is the reassignment of an employee to a job at a higher level in the same organization
• Promotion opportunities motivate employees if the system is perceived as fair and transparent

Promotion of Employees (Cont.)

• Criteria for promotion include seniority and merit
• An effective performance appraisal system is required to identify which employees are suitable for promotion

Grievance Handling

• Unresolved Grievances can lead to:
• Lowered productivity and profitability
• Resignation of employees
• Depression amongst employees
• Complaints
• Poor quality and quantity of work
• High rates of accidents
• Aggressive unionism

Grievance Procedure

• A grievance procedure is a formal process for hearing and resolving complaints
• It establishes deadlines for each stage at which a grievance is heard
• Grievances should be settled at the lowest level possible

Grievance Procedure

• Managers need to be trained to handle employee grievances
• Grievance handling requires:
• Listening skills
• Understanding employees' and employers' rights
• Counseling skills
• Problem-solving skills

Absenteeism

• Workers regularly absent from work without permission granted in advance cause problems
• Employers must have systems in place to reduce unauthorized absences
• Employers should keep records and have clear procedures
• Take disciplinary action, when necessary
• Employers can encourage attendance by offering incentives

Penalties for Absence

• Employees may be punished for absence
• The Employment Act or Sabah/Sarawak Labour Ordinances:
• Absence without leave for more than two consecutive days is a breach of contract
• Prior to any dismissal, proper procedures must be followed

The Industrial Relations Act and Termination of Employment

• All employees have the right to challenge their contact termination by:

• File a request for reinstatement at their local Department of Industrial Relations (IR)

• Attend a conciliation meeting with the employer as called by the Department of IR

• As a result of conciliation:

• the employer may agree to reinstate the employee

• the employee may agree to withdraw his claim

• The employer and employee may agree on a compensation package

• The employer and employee may not reach any agreement

• Where no agreement is reached, the Director General of Industrial Relations will refer the dispute to the Industrial Court for arbitration

• When the dispute is referred to the Industrial Court, a hearing will be held

• The Industrial Court will decide whether the employee was dismissed with or without just cause

• If dismissed without just cause or excuse, the court will order to reinstate the employee, or compensate them

Compensation Formula for Dismissal Without Just Cause

• The Industrial Court decides on how much compensation should be paid to the employee by the employer
• The formula can be:
• Back wages from the date of dismissal up to the date of the court decision, with a maximum of 24 months, and
• One month's wages for every year of the employee's service
• The formula is frequently varied, depending on the circumstances of each case

Fixed-Term Contracts

• These contracts expire at the end of the agreed time period
• The Industrial Court deems fixed-term contracts acceptable when they are for authentic business reasons
• An employee on fixed-term contract may claim under the Industrial Relations Act if his contract is not renewed
• The Industrial Court will not interfere with the decision if the employer has an acceptable reason not to renew the contract

Resignation

• Employees have the right to resign without assigning any reason
• Before an employee resigns, they must give the employer required notice as per contract

Retirement

• As of 2014, the minimum retirement age for employees is 60
• Employers should help employees prepare for this

Redundancy and Retrenchment

• Redundancy occurs when an employer has excess employees

• Redundancy can be caused by:

• Mergers and acquisitions

• Restructuring

• Financial problems

• Changes in technology

• Redundant employees may be retrenched

• Due to the negative consequences employers should avoid doing this when possible

• To avoid potential retrenchment, employers could:

-Freeze external recruitment and redeploy employees

-Conduct a voluntary separation scheme (VSS)

-Reduce costs and wages (with proper employee agreement)

• Procedures for retrenchment include: consult the trade union and inform the workforce, choose who to retrench, provide outplacement services, inform the Labour Department, and pay termination or retrenchment benefits

Dismissal For Misconduct

• Misconduct is any behaviour in conflict with the employer's interests
• Employers may punish employees for such misconduct
• A major case of misconduct can result in dismissal
• Employers must:
• Record complaint of wrongdoing
• Thoroughly investigate
• Charge the employee
• Hold a domestic inquiry

Dismissal for Poor Performance

• Before dismissing an employee, an employer:
• Warn them of the issue
• Assist them in improving
• Give them adequate time to improve

Frustration of Contract

• Frustration of contract occurs when an employee is unable to perform the work
• This is due to reasons beyond his control such as:
• Detention by authorities for a very long period of time
• Serious illness or medical incapacity
• Withdrawal of license required for the job

Constructive Dismissal

• Constructive dismissal tests include:
• The employer must have breached the employee's contract of employment
• The breach of contract must be a breach of a major key element in the contract
• The employee must leave his employment in a timely manner
• The employee must leave his employment as a result of the damage done, and not for any other reason

This assessment focuses on employee grievances and absenteeism, covering resolution levels, necessary skills for managers, and the importance of formal procedures. It also addresses actions for unauthorized absences and strategies for managing and encouraging full attendance.