Ten steps to a fair domestic inquiry: A legal and procedural perspective under Malaysian employment law

Abstract

This paper presents a structured and legally grounded ten-step framework for conducting a fair and transparent domestic inquiry within the Malaysian employment landscape. Anchored in the principles of natural justice and the statutory provisions of the Employment Act 1955, the domestic inquiry process functions as a vital disciplinary mechanism for addressing allegations of employee misconduct while simultaneously upholding the rights of the accused. Each procedural stepfrom the initiation of the inquiry and formation of an impartial panel to the appeal process plays a critical role in ensuring procedural fairness, organizational accountability, and legal compliance. The discussion is framed around key legislative references, notably Sections 14(2A), 14(2B), 14(3A), and 14(4) of the Employment Act, and further highlights the procedural rights of employees, including the right to be heard, to representation, and to cross-examination. In addition, the paper critically examines the practical challenges encountered in implementing domestic inquiries, such as bias avoidance, evidence handling, and communication clarity. By delineating a comprehensive and legally sound inquiry process, this study contributes to the enhancement of industrial harmony and ethical human resource management practices in Malaysia.