Court overturns minister's order on compensation

I HASTEN TO ADD THAT NOTHING I HAVE SAID HERE SHOULD BE TAKEN AS INTENDING TO INHIBIT THE MINISTER FROM CONTINUING TO EXERCISE HIS USEFUL POWER OF INTERVENTION. IT IS JUST THAT THE PROCEDURES ADOPTED SHOULD BE REVIEWED."

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"The High Court has overturned an order by the Labour Minister last year that required a business school to pay a sacked lecturer $6,800 in compensation for unjust dismissal. In overturning the order, Justice Warren Khoo stated that the Manpower Ministry, formerly the Labour Ministry, hired De Ngerng Miang Hong, then 42, as a lecturer in economics and related subjects in September 1996.

From the outset, there were dissatisfaction and concerns regarding his conduct, primarily because he frequently reported late for work and took unauthorized leaves. Additionally, a survey conducted among students in March 1997 revealed dissatisfaction with his teaching performance. The judge mentioned this in his written judgment delivered last Friday, which The Straits Times obtained a copy of yesterday.

The case began when Stansfeld School of Business, situated in Middle Road, employed De Ngerng Miang Hong as a lecturer. Stansfield's managing director, Kannappan Chettiar, offered Dr. Ngerng the option to resign voluntarily on May 6, with a month's salary compensation of $3,700. When he declined, the school dismissed him without the required three months' notice, citing breaches in his contract terms that affected the school's finances and reputation.

Dr. Ngerng then lodged a complaint with the Labour Minister, alleging unfair dismissal. An officer handling the case suggested that the school terminated Dr. Ngerng prematurely to avoid paying his full-month salary. However, when this allegation was brought to the school's executive director, Cenobia Majella, she denied it. Subsequently, an investigation concluded that Dr. Ngerng had been unfairly dismissed, and compensation of $6,800 was proposed.

However, Justice Khoo noted that although the Minister's decision cannot typically be challenged in court, the court could overrule it if the process leading to the decision was against the rules of natural justice. He highlighted that the procedures followed by the Ministry did not allow Stansfield a chance to respond to Dr. Ngerng's allegations against it. Justice Khoo emphasized the need for a more efficient and fair procedure that ensures all involved parties have an opportunity to present their perspectives before a decision is made against them."