Dismissal of bank employees for unlawful picketing upheld by Federal Court.

Federal Court decision on dismissal for illegal picketing

The Federal Court yesterday (20.10.2014) dismissed with costs the appeal of nine employees and upheld the Court of Appeal judgment that they were all dismissed for cause for participating in an unlawful picket.

This dispute traced back to pickets conducted by NUBE outside the premises of (the then) Bangunan BCB,  Jalan Tun Perak over several days in October 2003.

Arising out of the above, Bumiputra-Commerce Bank Berhad (now known as CIMB Bank Berhad after the merger) took disciplinary action against those staff who were involved for participating in unlawful picketing and also for conducting themselves in a manner which led to disruption to the bank’s business and operations, and the same had caused disrepute to the Bank’s image.  Several employees were sacked on 27.4.2004 after due enquiry.

The dispute over their dismissal was referred to the Industrial Court. In its Award no. 1266 of 2009 dated 27.10.2009, the Industrial Court upheld the dismissal of nine of the ten claimants, including the dismissal of J Solomon, General Secretary, NUBE.

The claimants subsequently applied for Judicial Review to quash the Award of the Industrial Court.  On 21.10.2010, the High Court heard the matter and dismissed the application. Among other things, the High Court Judge remarked that “The Industrial Court made the award after taking into account the misconduct and also the nature of the industry i.e. the banking industry. It was of the view that the punishment of dismissal was appropriate in the circumstances..”

The matter was referred to the Court of Appeal in February 2011. In November 2011, the Court of Appeal handed down its judgment, dismissing the appeal.

Subsequently, the Federal Court heard the appeal in October 2013 and had yesterday delivered its judgment, dismissing the appeal with cost.

For details, please refer to the attached Judgment and newspaper report below:

http://www.thestar.com.my/News/Nation/2014/10/27/Bank-picket-sacking-lawful/

http://www.thestar.com.my/News/Nation/2014/10/31/Nine-sacked-for-picketing-lose-appeal-Action-of-bank-staff-a-grave-misconduct-rules-judge/