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T. THAVALINGAM & CO.

Higher expectations for employees in regulated industries

Chiew Sang Thong v. Tune Insurance Malaysia Berhad

(Industrial Court Award No. 672 of 2021)


The Industrial Court drew a clear parallel between employees working in the insurance industry and those employed in other financial institutions, observing that the strict regulatory oversight of Bank Negara Malaysia over both conferred a correspondingly higher standard of care on employees in the discharge of their duties.


In the above case, a long-serving Claims Manager of almost 20 years' service was dismissed following an internal inquiry process for negligence in the discharge of his duties, specifically, in relation to the issuance of a letter to an insurance claimant in a motor vehicle accident.


The Industrial Court took into consideration his past record of similar misconduct and found that his length of service and the nature of the insurance industry meant that he could and should have known better.


The Company was represented by our partners Dato' Thavalingam C. Thavarajah and David Tan Seng Keat.


The full Award can be read here.


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