how to manage poor performers learningtemplate17 jun-15
TRANSCRIPT
After that introduction, I just can't wait to hear what I'm going to say.
This must be a wealthy crowd. Each of you bought two or three seats!
They say its best to leave your audience before your audience leaves you.
Ever stop to think, and forget to start again?
(
HOW TO
MANAGE POOR
PERFORMERS
Why We Hate Performance
Appraisals
Collective Ambition
3 Phases Of Appraisal
Mid-Appraisal
Final Appraisal
Alignment: Framework
2
*No Linkage – cannot see how their performance matters to higher order results
*Especially with a 5 or 10 pt rating scale
*This will cause the “I lower your score because we do not have budget” problem
Richard will be offering proven insights for business leaders who are seeking the latest methods to inspire their employees and
themselves to become high performers.
In the full Video Seminar, Richard Maloney explores 4 key considerations for the progressive organisation:
1. Why is engagement the new leadership?
2. How Do You Inspire All Your Employees To Become Consistent High Performers?
3. How do you implement premiership winning habits into the workplace?
4. What are the top 3 reasons why people leave leaders, not organisations?
This video is an extract from the full IIDM Video Seminar - "Employee Engagement Is The New Leadership" presented by
Richard Maloney, Founder and CEO of Engage and Grow.
In this context, extrinsic, rewards quickly became the standard. Commonly referred to as if/then rewards, extrinsic motivators
assume that people are driven to maximize rewards and minimize punishment
No one understood this better than Henry Ford. Higher wages were necessary, Ford realized, to retain
workers who could handle the pressure and the monotony of his assembly line. In January of
1914, his continuous-motion system reduced the time to build a car from 12 and a half hours to
93 minutes. But the pace and repetitiveness of the jobs was so demanding that many workers
found themselves unable to withstand it for eight hours a day, no matter how much they were
paid. To minimize turnover and maximize productivity, Ford made an announcement that shocked the country.
In 1914 Henry Ford announced that he would voluntarily raise the average daily wage for his workers $2.50 per day to $5 per
day and reduce the average workday from 9 hours to just 8.
Ford believed he was buying higher quality work from his employees. “If the floor sweeper’s heart is in his job he can save us
five dollars a day by picking up small tools instead of sweeping them out.”
Car production in the year before the pay rise was 170,000, in the year of it 202,000.
We can go further too. As we’ve seen the rise in the daily wage was from $2.25 to $5 (including the bonuses etc.). Say 240
working days in the year and 14,000 workers and we get a rise in the pay bill of $9 1/4 million over the year. A Model T cost
between $550 and $450 (depends on which year we’re talking about). 14,000 cars sold at that price gives us $7 3/4 million to
$6 1/4 million in income to the company.
It should be obvious that paying the workforce an extra $9 million so that they can then buy $7 million’s worth of company
production just isn’t a way to increase your profits. It’s a great way to increase your losses though.
As we can see above the total labour establishment was only 14,000 anyway. Even if all of his workers bought a car every
year it wasn’t going to make any but a marginal difference to the sales of the firm.
Extrinsic motivators are very effective
at aligning effort behind routine tasks
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$2.34
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$1
$2
$3
$4
$5
Old New
Ave
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ail
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170
202
0
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100
150
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Year before Year after
Ca
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(00
0s
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Ford announced that he would voluntarily double the
average daily wage while reducing the workday
Incentives are less effective in fostering work that we do in the 21st Century.
Intrinsic Motivation is far less harmful and much more powerful in compelling employees in the modern workplace than in
the past.
Autonomy, Mastery and Purpose may be a new way to motivate those around us to do
Great and Creative things.
Offering a new paradigm for our relationships with colleagues, clients, and competitors, Give and Take demolishes the "me-
first" worldview and shows that the best way to get to the top is to focus not on your solo journey but on bringing others with
you. In this book talk, Adam Grant presented an approach to work, team building, productivity, and profitability that is nothing
short of revolutionary.
Adam Grant is the youngest tenured professor and single highest-rated teacher at Wharton Business School. He has been
honored as one of BusinessWeek's favourite professors and one of the world's top 40 business professors under 40, received
numerous awards and extensive media coverage for his research, and consulted and presented for organisations including
Google, the NFL, IBM, Merck, the World Economic Forum, the United Nations, and the U.S. Army and Navy. He is a former
record-setting advertising director, junior Olympic springboard diver, and professional magician.
Known as NUMMI the joint venture began in 1984
GM’s goal was to introduce a compact car into the US market using Japan’s latest manufacturing techniques.
Toyota’s goal was to learn how to build cars in the US market.
The plant was notorious for being one of the most unmanageable plants in the entire GM system.
And the NUMMI results speak for themselves
Only 3 months after the first cars rolled out of NUMMI, they were already receiving 140 point ratings – meaning virtually
no defects.
More than one year after production began, GM surveys ranked the Chevy Nova among the company’s top 3 models in
initial quality.
Compared with NUMMI, the old plant would have required 50% more workers to assemble the same car.
This lively RSA Animate, adapted from Dan Pink's talk at the RSA, illustrates the hidden truths behind what really motivates us
at home and in the workplace.
While extrinsic motivation can be effective in aligning effort behind routine tasks it’s less relevant to the kinds of learning based
tasks that knowledge workers perform.
To motivate and inspire today, managers must grant autonomy, promote mastery, create a sense of belonging and inspire a
feeling of purpose.
“The deepest human need is the need to be appreciated”
William James, American philosopher and psychologist (1842 –1910)
People will improve the things they’re recognized for so they can earn even more
recognition.
RACI and ARCI are acronyms derived from the four key responsibilities most typically
used: Responsible, Accountable,Consulted, and Informed.
And I thought deeply about this, and I ended up concluding that the worst thing that could possibly happen as we get big, andwe get a little more influence in the world is if we change our core values and start letting it slide. Uh, what would you do if, uh, what would you do — no I won't go into that — we have the same values now as we had then. We're certainly a little more experienced, we're certainly more beat up, uh, but the core values are the same.
COLLECTIVE
AMBITION:
Implementing Core Values
What is the ultimate objective of a Performance Management System?
‘Performance’ – achievement,
‘Management’ – controllable, improvement
‘System’ – predictable outcome, autorun
Summary?
A Predictable process to Improve Controllable Achievements
20
Now that we our Targets, we must do the alignment of the whole organisation to serve these Targets in order to generate lasting Loyalty.
PMS
List the work (responsibilities/duties, or projects) assigned to you over the past year
Tell us how you did; be as objective as possible, but honest, if you feel that you did a great job say so!
Points to Discuss with your Supervisor
How are you doing in your role?
What could be done to help you improve?
What where your achievements
Are there any career goals that you would like to pursue?
How can your supervisor provide support?
During Review Meeting
Discuss the achievements and progress you have accomplished over the past year.
Identify ways you want to further develop your professional performance, including training, assignments, new challenges,
and so on.
Discuss areas of agreement and disagreement and reach consensus.
Performance Management Part 1: Understanding the Process.
Now we talk about how to develop a good strategy.
Illustrate with interesting business examples; you’ll have to address in your own context.
Core Value = Timeless principles valuable inside the company
Purpose = Star to be chased forever
There are 7 elements that comprise an organisation’s collective ambition:
1. Purpose: The organisation’s reason for being; why it exists; its core mission.
2. Vision: The position or status an organisation aspires to achieve in a reasonable time frame.
3. Brand promise: The commitments an organisation makes to its stakeholders (customers, communities, investors,
employees, regulators and partners) concerning the experience it will provide.
4. Targets and milestones: The KPIs used to assess the extent to which the organisation has progressed toward its vision.
5. Project Management discipline: The actions an organisation will take (and not take) in pursuit of its vision.
6. Core values: The guiding principles that dictate what an organisation stands for in good and bad times.
7. Leader behaviours: How leaders will act, day-by-day and in the long term, to implement vision and strategy as they strive to
fulfill their brand promise and live up to their values.
Performance management is the systematic process of:
1. Planning work and setting expectations
2. Continually monitoring performance
3. Developing the capacity to perform
4. Periodically rating performance in a summary fashion
5. Rewarding good performance
Performance Management Part 2 - Planning and Goal Setting.
The appraisal year consists of three distinct phases – preappraisal, midappraisal, and final appraisal.
These three phases are used for both probationary and permanent employees. Appraisals for permanent employees cover a
12-month period while a probationary period, typically, starts with a 6-month duration.
S =Are they important? To you? To him? To the group? Are they specific enough to measure?
M = Can you measure them, or at least know if they’re complete? Do they matter to anyone?
A = Does the employee have the ability, the time? Is it too easy, too hard?
R = What group/dept/div objective does it support?
T = Is there enough time allotted to do it? Too much? Will it happen within the reporting period?
Your preappraisal should be a two-way conversation between you and your rating supervisor. This is a time when your
supervisor should explain and clarify your responsibilities and results and give you examples of how you can go above and
beyond a 2, or meets standards, level in your job performance.
Use this time to discuss with your rating supervisor any issues or expectations that may not be clear to you.
This allows an employee the opportunity to change the undesired behaviour or to improve performance where needed before
the final appraisal.
The preappraisal phase is used to outline and discuss the employee’s responsibilities and expected results that begin
immediately upon entry to a position if the employee is newly hired or promoted.
The preappraisal is to begin in the first week of a new appraisal year for employees that are permanent.
All employees start out the new appraisal period at a 2, or meets standards, level. Where the employee goes from there is up
to the employee. However, in order to excel employees need to know what is expected of them. They need to know the game
rules. The preappraisal is intended to be a time for the rating supervisor to communicate to the employee just how they can hit
the bull’s eye!
Leadership in the workplace often involves dealing with poor performers on a team. In this tutorial, explore why it's important,
as a leader or manager, to address employee performance problems as they arise.
These are to be discussed with you during the preappraisal session. In addition, you should be provided a copy of the
personnel policies and procedures which will outline agency policies in these and other areas. You will be required to sign the
preappraisal form. As an employee you are required to sign all appraisal, counseling, and progressive discipline forms. Your
signature does not necessarily denote that you agree but that a discussion has been conducted with you. Never refuse to sign
any of these forms. This is insubordination and can result in steps of discipline to include suspension or termination. As with
any personnel action, you can submit your own comments that will be submitted along with any of these forms.
Two meetings are essential
1. Look at self assessment and discuss 2012 expectations
2. Deliver appraisal and firm up 2012 expectations
Second meeting
Start with positive comments
Discuss each expectation rating individually
Suggest additional things you’d like to see in future
The 2nd phase of the appraisal cycle is the mid-appraisal. Sometimes around 6 months into the appraisal period the rating
supervisor will conduct a formal “sit-down” session with you in order to discuss your performance to that point.
Implement training that provides coaches with effective interpersonal and management skills
Conduct a coaching analysis
Used to locate the real underlying problem responsible for employee performance issues
Ensure that coaching systems in place are contributing to employee development and organisational effectiveness.
Managing employees can be a bit of a balancing act. You want to give them space so they can live up to their greatest
potential. But at the same time, you don't want them taking advantage of your flexibility. You want them to work hard, but you
don't want them to clock extra hours just for the sake of it.
At the end of the day, your company wants results and your staff's performance directly affects the growth of your business. In
this episode, we look at two situations where employees take extra liberties with break time and offer ways to resolve them
effectively.
Created on the basis that poor performance can have multiple causes
9 Steps – should continue through the steps until the cause of the problem has been identified
If the problem still exists, move onto step 3: Coaching Discussion
The answers to your questions will tell you how to proceed with your poor performing employee.
Whether they need more training or just more attention from you, making your correction positive and privately is the best way
to actually solve the problem instead of creating more.
Kinlaw process
There are two main reasons that managers correct an employee's poor performance in front of others and neither reason is
about correcting the employee's poor performance. The first is the manager's emotional need to scold or shame or be right.
The second is about making an example for sake of others not the employee in need of correction. It is true that the employee
will probably never forget the experience, but their overriding memory will not be of the lesson but just the jerk who delivered it.
The trick is to make it private and positive. Private is the easy part, just be patient enough to wait for the right time. Positive is
more difficult, but not if you commit to asking questions rather than lecturing. Instead of blurting out "What were you thinking?!!"
Take a deep breath and calmly begin to find out by asking them. Start with some form of this one, "How could that have gone
better?" Then go from there, here are some others: "How do you think the customer felt?" "If the roles were reversed, how
would you have wanted it handled?" "What do you remember from your training?" "If you could do it over, what would you do
differently?" "Next time it happens, what are you going to do?"
The final appraisal is considered the end result of the appraisal process. It is a time when your rating supervisor will review,
evaluate and document your performance during the appraisal period. It is like a mirror, a looking back over the past 12
months and documenting your performance and work habits.
The final appraisal can determine the level of annual raise, if any, is merited.
45
Identify your work-related communication style and how others perceive you
Recognize the characteristics of the four “workstyle styles”
Apply strategies to improve communication within your teams
48
Describe the driver style: Action Oriented
Focus on the present
Seek power, want to make their own decisions
Quick to express conclusions
Base their decisions on facts, risk taker
The Expressive Style: Intuition oriented
Appear communicative, approachable, competitive, impulsive
They seem to want friends…but really more as followers and supporters
Seem to be working toward some dream of the future takes risks and makes decisions based on
personal opinion.
Appears to be imaginative, creative……but the seem to make mistakes along the way
Amiable Style: Relationship oriented
Place a high priority on friendship
They interpret the world in a personal basis
They use understanding and mutual respect, rather then force and authority to achieve objectives
Tend to move slowly, take their time
They stick with the comfortable and known……..must feel safe with decision
Analytical- Thinking oriented
Live life according to the facts, cautious with extending friendship, tend to move slowly, historical time
frame
52
Describe the driver style: Action OrientedFocus on the presentSeek power, want to make their own decisionsQuick to express conclusionsBase their decisions on facts, risk taker
The Expressive Style: Intuition orientedAppear communicative, approachable, competitive, impulsiveThey seem to want friends…but really more as followers and supportersSeem to be working toward some dream of the future takes risks and makes decisions based on personal opinion.Appears to be imaginative, creative……but the seem to make mistakes along the way
Amiable Style:Place a high priority on friendshipThey interpret the world in a personal basisThey use understanding and mutual respect, rather then force and authority to achieve objectivesTend to move slowly, take their timeThey stick with the comfortable and known……..must feel safe with decision
AnalyticalLive life according to the facts, cautious with extending friendship, tend to move slowly, historical time frame
Low
responsiveness
High
responsiveness
High
Assertiv
e
Low
Assertiv
e
Driver
Expressive
Analytical
Amiable
Back-up behavior:
Autocratic
Back-up behavior:
AttackBack-up behavior:
Acquiesce
Back-up behavior:
Avoid
Back-up Mode
57
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Analytical is a technical specialist…accountants, engineers
Driver is a command specialist….CEO
Amiable…relationship specialist
Expressive is a social specialist…sales, entertainment
54
There is no best or worst style. All styles have advantages and disadvantages. All styles are effective when appropriate to
the situation and implemented well.
There are no pure styles. We all have parts of each style in us. However, we also have one style that predominates, one
style in which we are most comfortable and which requires the least energy and stress.
Behavior style does not explain the whole person. It only defines perceived patterns of behavior. It does not address
personality or an understanding of how an individual thinks or feels.
Much of the population is different than you are.
Other people have different needs. Therefore, they communicate in a different manner, use time differently, relate in a different
way, make decisions, and manage conflict in a way that differs from how you do it.
We all have goals we hope to attain and results we wish to achieve. However, different interpersonal priorities influence
how we go about accomplishing these ends.
Difficult employees—every workplace has its own collection of difficult people, and your job as a manager, supervisor or team
leader is to handle them! Do you know how to handle your problem people? In this clip, see one way you can deal with an
"Amy Attitude," one of the 6 difficult employee types you may encounter as a manager or supervisor.
Your rating supervisor will be assigned to each of your responsibilities/results a numerical rating indicating at which level you
have performed that particular responsibility/result throughout the entire appraisal period. The criteria your supervisor follows
is:
Types Of Termination
1.Retirement
2.Resignation
3.Breach of contract
4.Frustration of contract
5.Ending of a fixed term contract
6.Non confirmation of a probationer
7.Retrenchment
8.Dismissal (misconduct & poor performance)
9.Constructive dismissal
Ethics and conduct
Conditions of employment
Substance use
Unauthorized absence
Harassment
Cyber conduct
Health and safety
Union Grievance
Equal Employment Opportunity Law Suits
Employee Buyouts
Having to Reinstate Employee
Embarrassment to Leadership
Leadership Looses Credibility
When employees are late to work or don't show up on time for meetings, it affects not only the
productivity of the organisationbut potentially employee morale. This tutorial explains how tardiness can
disrupt the workplace and offers strategies for getting latecomers to show up on time.
Remember, Law is NOT a Substitute for Good Human Resource Management Practices!
Amanda Chadwick discusses why it is essential for businesses to have an Employee Handbook in place.
Domestic Inquiry Is Required By:-
Statute - Section14(1) of the Employment Act 1955
Common Law – The rules of natural justice before an employee can be punished for an act of
misconduct
DUE INQUIRY IN DISMISSAL
For employees governed by the Employment Act 1955, Section14 of the Act states: “An employer may, on grounds of
misconduct inconsistent with the fulfillment of the express or implied conditions of his service, after due inquiry-
dismiss without notice the employee
downgrade the employee
impose any other lesser punishment as he deems just and fit.”
NATURAL JUSTICE
“If the right to be heard is a real right which is worth anything, it must carry with it a right in the accused to know the case which
is made against him. The accused must be given sufficient opportunity not only to know the case against him but also to
answer it”. Lord Dennings in B Surinder Singh Kandav Govt of the Federation of Malaya (1962)
Termination Due To Misconduct
“Misconduct is any conduct on the part of the employee inconsistent with the faithful discharge of his
duties or any breach of the express or implied duty is of an employee towards his employer would
constitute an act of misconduct”
(Industrial Court in Malayan Thung Pau Bhd v Four Workmen – IC Award17/1974).
A charge letter addressed to an accused employee must be in writing & must have the above:-
In this short video HR expert, Amanda Chadwick discusses how employers should issue their
disciplinary letters to members of staff.
Opportunities to practice desirable behaviours: If you have an area where employee performance is a
concern and disciplinary action is required on a regular basis, identify opportunities to let employees
practice the skills and behaviours you want them to use more frequently.
Opportunities to participate: Studies have consistently shown that employees who feel that their
ideas, comments, and suggestions are heard and heeded report a higher level of workplace
satisfaction and loyalty to the workplace.
Amanda Chadwick highlights which steps you need to follow in the disciplinary process.
Consistency across the organisation
Documentation requirements
Negative impact on individual employee performance
Negative impact on morale
Consistency across the organisation
Documentation requirements
Negative impact on employee performance
• Ensure that, when appropriate, performance management is kept separate from workplace discipline
• Notice and positively reinforce improvements in the employee’s behaviour
• Notice and positively reinforce other aspects of the employee’s work performance
• Reassure the employee that disciplinary action is confidential
Start Early…..
First create an environment where discipline need not be implemented, i.e., it prevails already.
It must include a well hiring, orientation, training, grievance and dispute resolution systems as integrated parts of a single
program with a single objective: the creation and maintenance of a disciplined work force.
The objective of this discipline is not punishment, but to bring a change in your behaviour through a series of steps.
Your supervisor may use the progressive discipline system when there are:
Progressive discipline is the most common and effective type of workplace discipline
Each situation is unique and might call for different actions and steps!
Progressive discipline should be implemented through:-
1. Training, Informal feedback (verbal warning)
2. Letter of counsel (written warning), Letter of reprimand
3. Suspension (final warning)
4. Termination
Here Amanda Chadwick quickly runs through some of the key points you must remember when going through a disciplinary
with a member of staff.
Most minor offences are first addressed with counseling prior to proceeding to disciplinary steps. Counseling is NOT a step of
discipline and if the behaviour is changed or performance returns to an acceptable level, the counseling form does not go into
the official personnel file. If your supervisor counsels you, your attitude is important! This is your supervisor’s attempt to give
you an opportunity to correct what needs correcting. It’s then up to you, the employee.
Difficult employees—every workplace has its own collection of difficult people, and your job as a manager, supervisor or team
leader is to handle them! Do you know how to handle your problem people? In this clip, see one way you can deal with a
"Walter the Whiner," one of the 6 difficult employee types you may encounter as a manager or supervisor.
Make sure the evidence supports the charge of employee wrongdoing.
Ensure that the employee’s due rights are protected.
Warn the employee of the disciplinary consequences.
The rule that was allegedly violated should be related to the efficient and safe operation of the particular
work environment.
Fairly and adequately investigate the matter before administering discipline.
Remedy For Dismissal Without Just Cause Or Excuse
Whether a workman is a member of a trade union or not, he can file a representation to the DGIR in
writing seeking for reinstatement to his former employment if he considers he was dismissed without
just cause or excuse.
To qualify for this remedy-
must be workman
file representation within 60 days of the dismissal
Upon receipt of the representation, DGIR will take steps as necessary or expedient for a settlement.
The employees have the right to know what is expected of them and what are the consequences of not
fulfilling those expectations will be.
Was the employee aware of what he/she fell short of what the employer expected.
If an employee adheres to these ethical principles then there is no need for any disciplinary actions.
"Where a workman, irrespective of whether he is a member of a trade union of workmen or otherwise, considers that he has
been dismissed without just cause or excuse by his employer, he may make representations in writing to the Director General
to be reinstated in his former employment; the representation maybe filed at the office of the Director General nearest to the
place of employment from which the workman was dismissed."Section20(1)
Industrial Relations Act 1967
Trade Unions Act 1959
Employment Act 1955
Sarawak Labour Ordinance
Sabah Labour Ordinance
Occupational Health and Safety Act 1994
The Industrial Court and the superior courts in Malaysia have over the years ruled that a probationer enjoys the same rights as
a permanent employee.
• As a result the services of a probationer cannot be terminated without just cause or excuse (Section20, IRA1967).
Ginder Singh Transport Co. Sdn. Bhd v Bijir Singh Juala Singh [1995] 1ILR516. “An employer ought in the first place to
ascertain the cause for the employee’s poor performance. Some of the causes may be attributable to the company’s own
weaknesses or inefficiencies in the system of its operations. The claimant may not have been given the right training or
equipment to do the task assigned to him.”
Difficult employees—every workplace has its own collection of difficult people, and your job as a manager, supervisor or team
leader is to handle them! Do you know how to handle your problem people? In this clip, see one way you can deal with a
"Blameless Bob," one of the 6 difficult employee types you may encounter as a manager or supervisor.
Make your expectations clear.
When you see initiative and self-discipline in action, fan the flame.
Treat the people you employ as if they are adults, which they are.
Spend time meeting with staff members regularly.
Severe discipline procedures may back fire.
Performance
The ability of a person to meet current expectations
Key Words:
Results,
Targets,
KPIs,
Achievement,
Expectations,
Training,
Job
Concentrates on the Past i.e. what the person has done
Potential
The capacity of a person to meet future expectations
Key Words:
Competencies,
Learning,
Fit,
Adversity,
Failure rate,
Development,
Career
Concentrates of the Future
Group 1: High Potential, High Performance (Talent)
Staff this category will automatically be placed in the company’s Succession Plans. Be the first priority to be considered for
any promotions or upgrading exercises. Career Acceleration + Specialist Career Paths.
Group 2: Average Potential, High Performance (Leadership Issues)
Leadership, motivational and cultural development would be given to these staff while they perform in their current positions.
Group 3: High Potential, Average Performance (Potential)
Should not be given career advancement unless performance improves. Good targets for transfers or job rotations to
departments that require urgent manpower.
Group 4: Average Potential, Low Performance (Issues)
Staff in this group should be monitored closely by HR. They should be eventually moved out of their current work function,
department or even the company entirely.
Dangers of Direct Incentives
1. lessen internal motivation, 2. switch to mercenary mode, 3. do something and do not do something else, 4. bribe and fraud culture, 5. easier for competitors to recruit, 6. lessen teamwork & helpful culture, 7. less and less impact for same value, 8. mockery of base salary and employment contract, 9. rebellion from non-incentivised staff, 10. end up incentivising everyone for everything?
This extract answers the question - How to deal with poor performance and reward good performance.
In the full Audio Seminar, Ian Berry speaks about:
• Why Do We Need To Manage Performance?
• Reasons Why Performance Management Fails In Business
• What Are The Steps To Managing Performance?
• Setting Up A Performance Management System
• How To Deal With Poor Performance And Reward Good Performance
Use this if your company:
Part 1 of a series explaining our philosophy and approach to compensation at Cincinnati Children's Hospital Medical Centre.
Part 2 of a series explaining our philosophy and approach to compensation at Cincinnati Children's Hospital Medical Centre.
Part 3 of a series explaining our philosophy and approach to compensation at Cincinnati Children's Hospital Medical Centre.
Part 4 of a series explaining our philosophy and approach to compensation at Cincinnati Children's Hospital Medical Centre.
In Davotek Sdn. Bhd. V How Kor Wei – Industrial Court Award 19 of 2000, the employee was given a
salary increase in March and dismissed in April for poor performance. Until his dismissal the
company had no complaint on the employee’s performance. The Industrial Court held the dismissal
was without just cause or excuse and ordered reinstatement.
The Supreme (now Federal) Court in Wong Chee Hong V. Cathay Organisation (M) Sdn. Bhd. [1988]1CLJ298-Salleh Abbas
LP:
“The common law has always recognized the right of an employee to terminate his contract of service and therefore to
consider himself as discharged from further obligations if the employer is guilty of such breach as affects the foundation of the
contractor if the employer has evinced or shown an intention not to be bound by it any longer”.
CONSTRUCTIVE DISMISSAL
“An employer does not like a workman. He does not want to dismiss him and face the consequences. He wants to ease the
workman out of his organisation………Generally speaking he will make life so unbearable of the workman so as to drive the
latter out of employment.” Dato’ Gopal SriRam, JCA in Quah Swee Khoon vs.Sime Darby Berhad(2000)
As unemployment levels continue to soar and redundancies are commonplace, now would be the time
to know your employment law more than ever. Unfair dismissal is one of the most common reasons
why workers take their employers to employment tribunal; however, it should not be confused with
constructive dismissal.
Unfair dismissal
Unfair dismissal is a term to used to describe when employment has been terminated and you did not
resign. This could mean that your employer did not have a fair reason to fire you or that your employer
didn't follow the correct process for dismissing you.
There is also the issue of being unfairly dismissed automatically. If you are dismissed because you tried
to exercise one of your legal employment rights you could have a claim for unfair dismissal. This
includes asking for maternity leave, the right not to be discriminated against, the right to request flexible
working arrangements and more.
Constructive dismissal
Constructive dismissal is a form of dismissal. It's when an employee has been forced to quit their job
against their will because of their employer's behaviour. This could be when your employer has
committed a serious breach of contract or you felt forced to leave because of that breach.
The reason for leaving you job must be serious and there must also be a fundamental breach in your
contract for you to be able to take this to an employment tribunal. For example, if you were not paid,
suddenly demoted for no reason or forced to accept unreasonable changes to your job such as
suddenly being told to work in another town. Leaving your job should be a last resort but if you do have
a case and you think you can show it was unfair then it's advisable to leave your job as soon as
possible.
WHAT IS THE BEST IDEA YOU GAINED TODAY THAT YOU WILL TAKE ACTION ON IN THE NEXT 30 DAYS?
What I have learnt
What I will practise
YOU’RE OK
Good for ending a seminar or an end of the year meeting. Distribute a 3x5 index card to people and ask them to write their
name on it. Cards are passed around the group; at which time everyone write a positive comment about the respective
individuals. The cards are then returned to each person.
