How to Conduct an Employment Investigation: Court Rules on Applicable Standards

When an employer has to deal with an employee who has been accused of committing an act of misconduct, the law requires that employers must inform the employee and conduct an inquiry before deciding whether to dismiss an employee or to take other forms of disciplinary action. Given a more litigious modern workforce, employers should be prepared that their decision to discipline or dismiss an employee will almost certainly be challenged. How then should an employer conduct an investigation? What are the applicable standards and procedural requirements? 

In Dong Wei v Shell Eastern Trading (Pte) Ltd and another [2021] SGHC 123, the Singapore High Court provided guidance on the standards to be met when conducting an investigation. The Court highlighted that the term of mutual trust and confidence is implied into all employment contracts, and shed light on what this implied term means for employers in the context of suspensions and investigations into employees.

In this Update, we look at the Court’s decision and examine what this means for employers, and how a proper investigation should be conducted so as to comply with the prevailing legal requirements.

For more information, click here to read the full Legal Update.

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