Singapore: Managing Termination for Cause in Singapore: Diligence and Justification, and Risks of Getting it Wrong
In a recent action brought before the Singapore High Court, the summary dismissal of Wong Sung Boon by Fuji Xerox Singapore Pte Ltd ("FXS") was found to be without basis and unlawful, and FXS was ordered to pay damages of SGD 1.4 million. In assessing the quantum of damages, the High Court re-affirmed the minimum obligation rule. This case illustrates the importance of ensuring that summary dismissals are carried out in accordance with the law and the decision to summarily dismiss an employee must be taken with due care.