Why 'Sexual Harassment' proposed amendments to Employment Act must be withdrawn?

Let us look at the proposed amendments regarding 'sexual harassment' to be inserted in the Employment Act, and some of the reasons why these proposed amendments should not be passed are as follows:- 

1) Inquiry by the employer? - should it not be by the Labour Department (or some other independent body) with the requisite training and skills to deal with questions of sexual harassment. - This proposed inquiry by the employer is even when the complaint relating to sexual harassment made....(ii) by an employee against any employer; or (iii) by an employer against an employee. (the only exception is when the employer is a sole proprietor.

- If the employer does not inquire - you complain to the Director General of Labour (DG) - and then if the DG feels that there should be an inquiry will direct the employer to conduct an inquiry..Again it is the employer who conducts the inquiry...

2) What happens if the worker is unhappy with the decision of the employer or the outcome of the inquiry - can the worker go for an appeal against the decision or a 'judicial review' in the Labour Court/High Court? Well, it looks like there is NO RIGHT OF APPEAL against the decision of the 'Employer Inquiry" or even the decisions of the DG on sexual harrasment except it falls under 81d(4), being where alleged perpetrator is employer who is a sole proprietor, and the DG has conducted the inquiry.

The amendments are purposely silent about this right of appeal and/or 'judicial review', and since this right of appeal are expressedly provided for certain other provisions in section 77 of the Act (which the new amendment proposes to also amend), we may conclude that there is NO avenue of appeal/judicial review with regards (a) decision of employer not to conduct inquiry; (b) decision of employer following inquiry; (c) decision of DG not to direct employer to conduct inquiry. 

Even if there is to be an appeal or judicial review - are we going to only rely on the notes of the employer's inquiry or their grounds of decision - should there not be a re-hearing (or re-trial) before an independent body like a Court?

3) What happens to the perpetrator?

Well, if it is an employee, it is some what clear - but what if it was an employer or some other 3rd party - the amendments say "recommend that the person be brought before an appropriate disciplinary authority to which the person is subject to.." - what does this mean really? Maybe, in a partnership or a company, that authority be the panel of partners or Board of Directors... and what will they do ... impose 'fines"???? Should we not be talking about reporting to police... or is 'sexual harassment' not a crime???

And for perpetrators, both employees or employers..., there is no talk about paying suitable compensation to victims, and/or even making an apology to the victim.  

What if the perpetrator is in the supervision or in the management or a director/partner of the company, what is the liability of the company/partnership/sole proprietor to the worker victim? No liability is certainly not acceptable - the should be vicarious liability at least...

Now, they want to introduce 'contractors for labour' - what happens if the perpetrator is an employee of some other employer ( i.e. contractors, sub-contractors or this new 'contractor for labour' (the outsourcing agent), if they allow it) - what will happen? With regard to these 'outsourced workers' of an outsourcing agent - who is sexually harassed by an employee of a factory - so who conducts the inquiry? the employer of the victim or the employer of the perpetrator???

If the harassment is committed by a 'visitor' to the factory on a worker in the factory premises- what happens? Will the factory be liable too? If the victim was an 'outsourced worker'(worker of some 3rd party), will the factory be liable? Is sexual harassment to be treated like 'occupational safety and health' whereby the owner/operator of the workplace is also definitely liable.

4) What happens to the victim?

Well, the victim certainly gets nothing - no compensation or apology from the perpetrator at all, etc  - In fact the proposed amendments is totally silent about this except in cases where inquiry conducted by DG when perpetrator is 'sole proprietor' employer, whereby one can laugh at what the victim gets... victim can resign without giving notice, get 1 months notice pay and other benefits like 'termination benefits"....

81e. (1) Where the Director General decides under subsection 81d(4) that sexual harassment is proven, the complainant may terminate his contract of service without notice.

                (2) If the complainant terminates the contract of service under subsection (1), the complainant is entitled to—

                (a) wages as if the complainant has given the notice of the termination of contract of service; and

                (b) termination benefits and indemnity,

as provided for under the Act or the contract of service, as the case may be.

5) Note the unquestionable power vested on the employer (and the DG) not to inquire into the complaint of sexual harassment  - " is of the opinion that the complaint of sexual harassment is frivolous, vexatious or is not made in good faith." and this apparently cannot be challenged in court by way of appeal or 'judicial review' except maybe for cases where the alleged perpetrator was a sole proprietor.

77.  Appeal against Director General's order to High Court.

(1) If any person whose financial interests are affected is dissatisfied with the decision or order of the Director General under section 69, 69B, 69C or 73 such person may appeal to the High Court.

Proposed Amendment of section 77

25.  Subsection 77(1) of the principal Act is amended by substituting for the words “or 73” the words“,73 or subsection 81d(4)”.

One wonders whether a victim of sexual harassment is a '...person whose financial interests' is affected?? If not, then NO right of appeal.

What happens to persons unhappy with decisions made pursuant to subsection 81b(5)...or even  81c(1) or 81d(1)- should they also not have the right to appeal to the High Court under section 77?

6) The biggest worry for the victim of sexual harassment, especially the worker, is whether these amendments to the Act will effectively shut all other doors and avenues to access justice in cases of sexual harassment? Would the victim be compelled to first...or (only use) the clear avenues of access for justice in cases of sexual harassment which will be in this Employment Act only, if amended? Would these 'new' explicit procedures in the Employment Act prevent the taking of a civil suit claiming for compensation and punitive damages...or act to prevent the police investigation or a person being charged in court or even SUHAKAM conducting an inquiry?

If the inquiry finds that A is guilty of sexual harassment - would that be sufficient for criminal prosecution or even a civil case - or will we have to start all over again proving and establishing 'sexual harassment' ?

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SELECTED PORTIONS OF THE EMPLOYMENT (AMENDMENT) BILL 2011...

New Part XVa

27. The principal Act is amended by inserting after Part XV the following Part:

                “Part XVa  SEXUAL HARASSMENT

                Interpretation

81a. For the purposes of this Part, “complaint of sexual harassment” means any complaint relating to sexual harassment made—

(i) by an employee against another employee;

(ii) by an employee against any employer; or

(iii) by an employer against an employee.

Inquiry into complaints of sexual harassment

81b.(1) Upon receipt of a complaint of sexual harassment, an employer or any class of employers shall inquire into the complaint in a manner prescribed by the Minister.

(2) Subject to subsection (3), where an employer refuses to inquire into the complaint of sexual harassment as required under subsection (1), he shall, as soon as practicable but in any case not later than thirty days after the date of the receipt of the complaint, inform the complainant of the refusal and the reasons for the refusal in writing.

(3) Notwithstanding subsection (2), an employer may refuse to inquire into any complaints of   sexual harassment as required under subsection (1), if—

   (a) the complaint of sexual harassment has previously been inquired into and no sexual harassment has been proven; or

   (b) the employer is of the opinion that the complaint of sexual harassment is frivolous, vexatious or is not made in good faith.

(4) Any complainant who is dissatisfied with the refusal of the employer to inquire into his complaint of sexual harassment, may refer the matter to the Director General.

(5) The Director General after reviewing the matter referred to him under subsection (4)—

   (a) if he thinks the matter should be inquired into, direct the employer to conduct an inquiry; or

  (b) if he agrees with the decision of the employer not to conduct the inquiry, inform the person who referred the matter to him that no further action will be taken.

Findings of inquiry by employer

81c. (1) Where the employer conducts an inquiry into a complaint of sexual harassment Received under subsection  81b(1) and the employer is satisfied that sexual harassment is proven, the employer shall—

  (a) in the case where the person against whom the complaint of sexual harassment is made is an  employee, take disciplinary action which may include the following:

  (i) dismissing the employee without notice;

  (ii) downgrading the employee; or

 (iii) imposing any other lesser punishment as he deems just and fit, and where the punishment  of suspension without wages is imposed, it shall not exceed a period of two weeks; and

 (b) in the case where the person against whom the complaint of sexual harassment is made is a person other than an employee, recommend that the person be brought before an appropriate disciplinary authority to which the person is subject to.

Complaints of sexual harassment made to the Director General

81d. (1) If a complaint of sexual harassment is made to the Director General, the Director General shall assess the complaint and may direct an employer to inquire into such complaint.

(2) The employer shall inquire into the complaint of sexual harassment when directed to do so under subsection (1) and submit a report of the inquiry to the Director General within thirty days from the date of such direction.

(3) If a complaint of sexual harassment received by the Director General is made against an  employer who is a sole proprietor, the Director General shall inquire into such complaint himself in a manner prescribed by the Minister.

(4) Upon inquiry by the Director General of the complaint of sexual harassment under subsection (3), the Director General shall decide if sexual harassment is proven or not and such decision shall be informed to the complainant as soon as practicable.

(5) Notwithstanding subsection (3), the Director General may refuse to inquire into any  complaint of sexual harassment received under subsection (3), if—

   (a) the complaint of sexual harassment has previously been inquired into by the Director General and no sexual harassment has been proven; or

   (b) the Director General is of the opinion that the complaint of sexual harassment is frivolous,   vexatious or is not made in good faith.

(6) Where the Director General refuses to inquire into the complaint of sexual harassment   received under subsection (3), he shall, as soon as practicable but in any case not later than thirty days after the date of the receipt of the complaint, inform the complainant of the refusal and the reasons for the refusal in writing.

Effects of decisions of the Director General

81e. (1) Where the Director General decides under subsection 81d(4) that sexual harassment is proven, the complainant may terminate his contract of service without notice.

(2) If the complainant terminates the contract of service under subsection (1), the complainant is entitled to —

  (a) wages as if the complainant has given the notice of the termination of contract of service; and

 (b) termination benefits and indemnity,as provided for under the Act or the contract of service, as the case may be.

Offence

81f. Any employer who fails—

   (a) to inquire into complaints of sexual harassment under subsection 81b(1);

    (b) to inform the complainant of the refusal and the reasons for the refusal as required under subsection 81b(2);

  (c) to inquire into complaints of sexual harassment when directed to do so by the Director General under paragraph 81b(5)(a) or subsection 81d(2); or

  (d) to submit a report of inquiry into sexual harassment to the Director General under subsection 81d(2);  commits an offence and shall, on conviction, be liable to a fine not exceeding ten thousand ringgit.

Concluding Remarks:-

1- These proposed amendments is bad is merely a 'feel good' activity for the BN government so that maybe they can happily proclaim that they have dealt with the issue of 'sexual harassment' at the workplace...or is it only at the workplace and does it also extend to outside the workplace especially to worker hostels, etc..?

2- Again the proposed amendments have been hurriedly tabled in Parliament without the required and necessary public consultation and discussion, and in this case it should go beyond the NLAC and should also include other civil society groups including also women rights groups and the Bar Council?

3 - What is worst is that the proposed amendments do not provide justice for the victim - no talk about compensation or damages..

4-  What the BN government and Parliament should do is maybe develop and legislate a Sexual Harassment Act, and maybe even make sexual harassment a crime under the Penal Code. For sexual harassment at the workplace, the obligation and duty should be firmly placed on the employer, i.e. the owner/operator of the workplace to ensure as part of an employers obligation to provide an environment for workers that is free from sexual harassment, and if they fail to do this, then these employers/companies (including the Directors and all Partners) must be made personally liable to the victim, and required to do the needful to ensure real justice not to the victim - not "OK, you are a victim of sexual harassment  so now you can leave your employment without giving notice and you will get the 1 month's notice pay plus any termination/retrenchment benefits" - this is not justice. Worker victims certainly do not want this - they certainly want to continue to work but in an environment free of sexual harassment - not the right to lose your job.

5 - Immediately withdraw these bad proposed amendments now...