TY  - JOUR
T1  - MINIMIZING PSYCHOLOGICAL IMPACT ON WORKERS IN GENUINE REDUNDANCY: FORMULATING GUIDELINES FOR EMPLOYER
AU  - Mohamed, Ashgar Ali Ali
AU  - Ishan Jan, Mohammad Naqib
AU  - Ahmad, Muhamad Hassan
AU  - Kasi, Arun
PY  - 2018
DA  - December
DO  - 10.18768/ijaedu.478263
JF  - IJAEDU- International E-Journal of Advances in Education
JO  - IJAEDU
PB  - OCERINT International Organization Center of Academic Research
WT  - DergiPark
SN  - 2411-1821
SP  - 239
EP  - 244
VL  - 4
IS  - 12
LA  - en
AB  - The competinginterests of a worker and an employer require that a worker’s security oftenure must be balanced against the just expectation of the employer forlatitude, under genuine redundancy in the organisation, to retrench the surpluslabour or workers. Such redundancy may arise due, among others, to a reductionof business activities, perceived advantages of greater mechanisation andtechnological change, deployment of capital resources in different ways,reorganisation of business operations with a view to enhancing profitability,and reducing losses either generally or in selected areas. For a retrenchmentto be justified, there must be convincing grounds to establish redundancy.Whether a genuine redundancy is established and a retrenchment is justified inany particular case would depend on the factual matrix and circumstances ofeach case. It is not doubted that a retrenchment of workers would havepsychological impact on the affected workers, more so if the worker has been inservice for a long time in the organisation. He will likely face difficulty inrelocating and/or securing other employment due to various factors. Hence, itis appropriate that certain viable and practicable guidelines are developed forthe employer to adhere to in order to minimize the impact of retrenchmentexercise on the workers. It is an establishedrule that an employer should ensure that retrenchment, if necessary, is carriedout in a fair manner. It includes manner of selecting the worker or workersdeclared to be redundant, giving a fair opportunity to them to make representationson the possibility of re-deployment, etc. The courts would not normallyinterfere with a bona fide exercise of rights of an employer in aretrenchment exercise, which rights are inherent in it. However, any form ofvictimisation of the employee, whether by arbitrary, perverse, baseless actionor otherwise by the employer which is considered to be unnecessarily harsh orwas not just or fair, or other mala fide action on the part of theemployer, may warrant the courts’ interference. In light of the above, thispaper will discuss retrenchment and its psychological impact on workers withparticular focus on formulating some guidelines for employers with a view ofminimising the impact.
KW  - Redundancy
KW  - Psychological Impact
KW  - Guidelines for Employer
CR  - Ashgar Ali and  Farheen Baig (2012). Retrenchment: The Law and Practice in Malaysia. Sweet & Maxwell Asia, 48.   
Maimunah, Aminuddin (2006). Malaysian Employment Law Practices. LexisNexis, Kelana Jaya, 302.
Maimunah, Aminuddin (2011). Malaysian Industrial Relations Employment Law. McGraw-Hill, p. 252.
UR  - https://doi.org/10.18768/ijaedu.478263
L1  - https://dergipark.org.tr/en/download/article-file/615342
ER  -