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23/07/2009 15:46:39
Re: Company tells employees to take unpaid leave

Hi, I need some clarification if it's legal for a company to tell employees to take 10 days unpaid leave?
Salary is deducted regardless whether the employee takes the full 10 days as directed by the company or not.
There is no written memo about it but only a meeting with the employees which was verbally agreed by the employees.
Reason for this is because the company has no production for the past 2 months and probably continue for another 2 months.
Appreciate your feedback on this matter.

Thank you
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KL Siew
23/07/2009 16:14:23
Under normal circumstances, the employer cannot do that. However, the current economic downturn has caused a lot of problems for both the employers and employees. You better approach the Labour Department and let them investigate whether the action of your employer is justified or not.
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25/07/2009 14:34:32
Instead of firing them out...asking the employee to take a long leave is the other option by the company in order to survive the crisis. Be considerate if your company don't have a production means no income so they are struggling to continue giving salary without any income.
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