I have been called to a domestic inquiry for misconduct. What should I know?

You receive a show cause letter, then a notice to attend a domestic inquiry. You may be suspended. The letter lists charges of misconduct. What you do before and during the inquiry can matter a great deal if you are later dismissed.

The legal basis

Under section 14(1) of the Employment Act 1955, an employer may, on the grounds of misconduct inconsistent with the fulfilment of the express or implied conditions of service, after due inquiry:

• dismiss the employee without notice;
• downgrade the employee; or
• impose any other lesser punishment it considers just. Where the punishment is suspension without wages, it cannot exceed two weeks.

"Due inquiry" means the employee should know the case against him and have a fair chance to answer it.

Suspension pending the inquiry

For the purposes of the inquiry, the employer may suspend the employee for up to two weeks, but must pay not less than half wages for that period. If the inquiry does not disclose any misconduct, the employer must immediately restore the wages withheld (s.14(2)).

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Preparing for the inquiry

• Get the charges in writing. Each charge should state what you are alleged to have done, when and where.
• Ask for the documents the employer will rely on, such as CCTV, emails, audit reports and statements.
• Ask for enough time to prepare.
• Identify your witnesses and ask whether they can attend.
• Ask whether you may be accompanied by a colleague or union representative, as your employer's policy or collective agreement may allow.
• Prepare a written statement of your account.

At the hearing

A panel, usually of managers not involved in the incident, hears the employer's evidence and your defence. You should be allowed to question the employer's witnesses and present your own. Keep your own notes. Ask for a copy of the notes of proceedings and the panel's findings.

After the inquiry

The panel reports its findings, and the employer decides the punishment. If you are dismissed, you can file written representations with the Director General of Industrial Relations within 60 days (Industrial Relations Act 1967, s.20(1),(1A)).

The inquiry does not bind the Industrial Court

The Industrial Court decides for itself, on the evidence before it, whether the misconduct was proved and whether dismissal was justified. It acts on equity, good conscience and the substantial merits (IRA 1967, s.30(5)). A defective inquiry does not automatically make the dismissal unfair, but a fair inquiry helps the employer's case, and what you said at the inquiry can be used later.

What should I do first?

1. Read the charges carefully and note the dates.
2. Reply to any show cause letter in writing, briefly and factually.
3. Request documents and time to prepare.
4. Keep records of all letters and the suspension pay you receive.
5. Take advice before the hearing if dismissal is a possible outcome.

Example

An employee is charged with falsifying claims. He asks for the claim forms and the audit report, brings a witness who approved the claims, and shows that the procedure was followed. The panel finds the charge not proved. The employer restores the half wages withheld during suspension.

Common mistakes

• Refusing to attend the inquiry.
• Making admissions in anger or confusion.
• Not asking for documents or witnesses.
• Missing the 60-day deadline after dismissal while appealing internally.

When to speak to a lawyer

Speak to a lawyer before the inquiry if the charges are serious, involve possible criminal allegations, or dismissal is likely. See our employment page; you can also contact us.

Frequently asked questions

Can I bring a lawyer to the domestic inquiry?

It depends on your employer's policy. Many employers do not allow lawyers at internal inquiries, but you can take advice beforehand.

Can my employer dismiss me without an inquiry?

Under the Employment Act 1955, punishment for misconduct is "after due inquiry". If there is no inquiry, the Industrial Court will still decide whether the misconduct is proved and dismissal justified.

Does an internal appeal stop the 60-day clock?

No. File your representations within 60 days even if an internal appeal is still pending.

Sources & fact check

Legal points in this article were checked against the primary sources below. The law can change; this is general information, not legal advice.

1. Employment Act 1955 (Act 265), including sections 19 and 69, AGC Laws of Malaysia
2. Industrial Relations Act 1967 (Act 177), including section 20, AGC Laws of Malaysia
3. Industrial Court of Malaysia (Mahkamah Perusahaan), official portal

Fact-checked on 18 Oct 2026