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New Management New Contract?

Anna HR
Sun, 10 Feb 2019 02:43:19 PM  (Last updated: Sun, 10 Feb 2019 06:22:41 PM)

My company has changed management - shareholder directors are still the same - only the person managing operation has changed.
They have come out with new employment contract to all staff - to standardise the salary.

Some staff have objected the new contract as their salary is reduced from by RM 500 & refused to sign the new contract.
So he has been absent for 2019 (Commencement of new contract) - as he does not accept being paid lesser than before.

The staff has issued a complaint to Jab Tenaga Kerja - requesting to receive 2 months salary in lieu (as he view it as the company is terminating him, which we are not..Where in fact he actually verbally informs he does not wish to work with the new salary).

Is there such a thing as new management new contract (automatically terminating old contract?)
BTW, all other staff has sign with no objection.

KL Siew
Sun, 10 Feb 2019 06:22:41 PM

Actually, when a place of work is taken over by new employer, the terms and conditions of the contract offered should not be less favourable than those in the old contract. Since the person has already lodge complaint at the Labour Department, just let the department look into the matter and give a decision. You can give a call to the Labour Department and discuss the issues with one of the officers there.

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