What Happens At The Industrial Court?
Your case did not settle at conciliation, and now moves to a court few workers know.
Conciliation did not resolve your case, or you are wondering what happens if it does not. This page explains what the Industrial Court is, and what the next stage actually looks like.
What is the Industrial Court?
The Industrial Court is a dedicated tribunal that decides unfair dismissal disputes and other industrial relations matters, separate from the ordinary civil courts. It sits nationwide, with its headquarters in Kuala Lumpur and branches in Penang, Ipoh, Johor Bahru, Kota Kinabalu and Kuching.1
Its decisions are called awards, and they focus on whether your dismissal had just cause or excuse, not on general contract disputes.
How does a case actually get there?
Your journey starts with a written Section 20 representation to the Director General of Industrial Relations, followed by conciliation at JPPM. If conciliation does not settle the dispute, the Director General refers it directly to the Industrial Court.2
There is no separate ministerial screening step to wait for now, which was removed by a 2020 amendment. That change makes the route somewhat more predictable than it used to be.
Which division hears your case?
Which branch hears your matter usually depends on where you worked, not where you live now. Kuala Lumpur handles the largest share nationally, while Penang, Ipoh, Johor Bahru, Kota Kinabalu and Kuching each cover their surrounding region.1
Knowing your division early helps with practical planning, since hearings are usually attended in person.
What happens at a hearing?
Both sides present their case, with your employer needing to justify the dismissal first, since they carry the burden of proof.4 Witnesses may be called, and documents like your contract, warning letters or appraisals often matter more than memory alone.
This stage is more formal than conciliation, and it is where having a lawyer represent you becomes possible, unlike the conciliation stage before it.
What can the Court award?
The two main outcomes are reinstatement to your job, or compensation instead of it. Where back wages are awarded, they are capped at 24 months of last-drawn salary for a confirmed employee, and 12 months for a probationer.3
No outcome is promised in advance. The Court decides based on the specific facts and evidence put before it, not on how strongly you feel about your situation.
Do you need a lawyer at this stage?
Solicitors cannot represent you at conciliation, but that changes once your case reaches the Industrial Court. Many workers choose to bring in an employment lawyer well before the hearing itself, to prepare properly.
A lawyer’s early role is often less about the hearing and more about organising your evidence while memories and documents are still fresh.
What to do this week
If your case has already been referred, start organising your documents by date: your contract, the dismissal letter, warnings, and anything related to the reason given.
If you are still waiting on conciliation, that preparation is not wasted either. A short conversation now can help you walk into either stage more ready than you would be otherwise.
If your case is heading to the Industrial Court, or already has been referred, telling us which division and what stage you are at helps us see how to help fastest.
Common questions
How does a case actually reach the Industrial Court?
It starts with a written representation to the Director General of Industrial Relations, then conciliation. If conciliation does not resolve it, the Director General refers the case directly to the Industrial Court, with no separate ministerial approval step.
Which Industrial Court division will hear my case?
It depends on where your employment was based. The headquarters sits in Kuala Lumpur, with branches in Penang, Ipoh, Johor Bahru, Kota Kinabalu and Kuching, each hearing cases from their surrounding region.
Can I bring a lawyer to the Industrial Court hearing?
Yes. Unlike conciliation at JPPM, where solicitors cannot represent you, a lawyer can represent you once the matter reaches the Industrial Court itself. Many people prepare with a lawyer well before that stage.
What can the Industrial Court actually order?
The main outcomes are reinstatement to your job, or compensation in place of it, including back wages up to the statutory cap. No outcome is promised in advance, and the Court decides based on the facts and evidence put before it.
How long does a case usually take from filing to a decision?
It depends on the court's caseload and the complexity of the dispute, so timing differs case by case. A lawyer familiar with your division can give you a more realistic sense once they know the basics of your case.
Sources
- The Industrial Court sits nationwide with its headquarters in Kuala Lumpur and branches in Penang, Ipoh, Johor Bahru, Kota Kinabalu and Kuching. Malaysiancounsel, The Industrial Court Malaysia Explained
- Since the Industrial Relations (Amendment) Act 2020 came into force on 1 January 2021, the Director General refers a case that does not settle at conciliation directly to the Industrial Court. MECA, Industrial Relations Act 1967 Guide
- Back wages awarded by the Industrial Court are capped at 24 months of last-drawn salary for a confirmed employee, and 12 months for a probationer. Donovan & Ho, Back Wages at the Industrial Court
- The burden of proving just cause or excuse for a dismissal rests on the employer, not the employee, once a case reaches the Industrial Court. Mah Weng Kwai & Associates, Unfair Dismissal
Keep reading
If your case is heading to the Industrial Court, or already has been referred, telling us which division and what stage you are at helps us see how to help fastest.