Malaysia Airlines union president awarded RM211k compensation

The Industrial Court has ordered Malaysia Airlines System Bhd (MAS) to pay compensation of RM211,444.56 to National Union of Flight Attendants Malaysia (Nufam) president Ismail Nasaruddin for unfair dismissal.

Ismail was terminated by MAS in 2013 for activities deemed detrimental to the company vide his union activities.

In 2013, The Sun newspaper carried an article on Nufam’s call for the resignation of the company’s then CEO, Ahmad Jauhari Yahya. The said published article referred to an interview allegedly conducted by Sunbiz with Ismail. The article had raised various allegations against MAS.

MAS then issued a show-cause letter dated Nov 12, 2013 to Ismail with the following allegations: “Allegation 1 The Sun, in a report appearing on 8.11.2013, inter alia stated, ‘The National Union of Flight Attendants Malaysia (Nufam), which represents 3,500 cabin crew at Malaysia Airlines (MAS), has called on the national carrier’s CEO Ahmad Jauhari Yahya to resign saying he had failed to resolve their plight since he took over the helm in September, 2011. In a statement yesterday, Nufam Secretariat said it is calling on the prime minister to review Jauhari’s contract and remove him as the CEO of MAS, which is a government appointed position, unhappy that there had been no changes in resolving the cabin crew’s problems and they are have become demoralized.

“Three years is long enough to observe how a CEO of a GLC (government-linked company) takes seriousness and consideration into the cabin crew’s issues, it said. The management has cut costs drastically on the cabin crew and did not bother to review their allowances and salaries,” it further claimed.

MAS said that Ismail’s comments were tantamount to serious acts of misconduct. It then issued a letter of dismissal dated Nov 29, 2013, dismissing Ismail with immediate effect as it could no longer repose the necessary trust and confidence to maintain Ismail in its employment.

Ismail alleged that the punishment of dismissal was done in bad faith and a colorable exercise to deny him of his constitutional right to freedom of association, freedom of speech and security of employment. He alleged further that he was a victim of an unfair labour practice by MAS for being an officer of a trade union (Nufam).

The High Court has set aside the award of an earlier Industrial Court decision, upholding Ismail’s claim of unfair dismissal and that it was unlawful.

Industrial Court chairman Noor Ruwena Nurdin yesterday ordered that compensation be given in lieu of reinstatement at a multiplier of 24 months or one month for each completed year of service.

The final award was decided after taking into account Ismail’s monthly total salary of RM4,894.55 multiplied by 24 months, along with back wages of RM3,915.64 over 24 months.

“The court now orders that the company pays the claimant the total sum of RM211,444.56 less any statutory deductions through the claimant’s solicitors within 30 days from the date of this award,” Noor Ruwena decided. – June 10, 2020

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