Employment contract

• Main Authors: Ali Mohamed, Ashgar Ali, Ahmad, Muhamad Hassan, Tan, Yeak Hui
• Format: Book Chapter
• Language: English
• Published: CLJ Malaysia Sdn Bhd 2024
• Subjects: K Law (General); K600 Private Law
• Online Access: http://irep.iium.edu.my/115774/1/115774_Employment%20contract.pdf; http://irep.iium.edu.my/115774/; https://www.cljlaw.com/store/product/contract-law-in-malaysia/

This chapter, therefore, analyses the contract of employment, including its interpretation by the courts with reference to the common law and statutory law approach. At this juncture, it is worth noting that the recent trend of the courts in common law jurisdictions is to move away from the traditional principles applicable to the employment relationship by moulding the law to the changing needs of society. The courts have acknowledged the contractual imbalance between the employer and employee by implying terms into the contract of employment. The basic purpose of implying terms is to provide better protection to the employees. In Wallace v. United Grain Growers Ltd.,15 Iacobucci J delivering the majority judgment,16 stated: “The law should be mindful of the acute vulnerability of terminated employee’s and ensure their protection by encouraging proper conduct and preventing all injurious losses which might flow from acts of bad faith or unfair dealing on dismissal, both tangible and intangible. I note that there may be those who would say that this approach imposes an onerous obligation on employers. I would respond simply by saying that I fail to see how it can be onerous to treat people fairly, responsibly and decently at a time of trauma and despair. In my view, the reasonable person would expect such treatment. So should the law”