Donovan Cheah was interviewed by The Edge in their article “Proposed EIS not expected to be a huge burden“. Donovan shared his thoughts on the controversial Employment Insurance System Bill 2017 which was tabled in Parliament for first reading earlier this month:

When the bill was proposed in March, there were questions about whether the EIS will cause employers to retrench their workers to avoid contributing to the scheme. Donovan Cheah, partner at law firm Donovan & Ho, says employers are required to comply with the law when retrenching employees.

“In other words, they must meet the legal criteria to retrench employees, such as proving there is a genuine redundancy. Failure to do so could result in an unfair dismissal claim. Thus, the mere fact that the EIS is implemented may not be good enough a reason for employers to start retrenching,” he says.

 The full article is available in the August 7 edition of The Edge.

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