Industrial Court Award No. 1619 of 2026 – Dinesh Kumar A/L Manickam v. Joe Green Precast Sdn. Bhd.

Can an employee claim unfair dismissal after signing a mutual termination agreement? Does deliberately providing false material information during recruitment constitute serious misconduct giving an employer the right to dismiss?

Recently, we learned that an unfair dismissal case our founder handled at the previous firm to defend a Singapore-based company with operations in Johor turned out favourably for the client. The Industrial Court of Malaysia dismissed an ex-safety and health officer’s claim for unfair dismissal against the client.

The Court agreed with our submission, finding that there was a mutual termination of employment after the Company discovered that the Claimant had a material criminal record—which he had declared negatively in his Job Application Form—and that parties agreed to amicably part ways. The Court also found the Claimant failed to prove that he was forced to sign the mutual termination due to duress or coercion.

At the same time, the Court found that deliberately declaring he had not been charged in any court of law constituted serious misconduct for which an employer may dismiss, due to the undermined trust and confidence underlying the employment relationship, given the integrity expected for the role.

Be that as it may, the Industrial Court stressed that a criminal conviction or concealing information per se does not automatically entitle an employer to dismiss. Considerations include:

👉Did the employer ask?
👉Is it relevant to the role?
👉Was it crucial to the hire?
👉Was a due inquiry held?
👉For information involving a criminal conviction, dismissal may be justified if the offence makes the employee unsuitable for the job in the absence of an inquiry.

These considerations balance the employers’ right to hire the right person with the employees’ privacy boundaries, ensuring they are not stripped of their personal history.

In fact, it resonates deeply with all human relationships:

👉“Give me an honest answer to my question, and let me decide whether I still want to build this relationship with you.”

Outcome aside, the manner in which the HR issue was handled is consistent with what I have seen many foreign companies or business owners do when operating in Johor or Malaysia. That’s why our “How to Avoid Employment Litigation Series” insights ring true.

If you haven’t checked them out yet, read them below.

Employers, do you know how much you can legally ask to disclose during recruitment? Employees, have you faced unreasonable disclosure demands? Let us know in the DM! (Let’s keep it anonymous!)

Note: This decision may be subject to appeal. Reader discretion is advised.