Application of Natural Justice Principles in Workplace Discipline: The Need for Legal Reform in Sri Lanka

Abstract

Principles of natural justice, including fair hearings and unbiased decision-makers, should apply in employee disciplinary procedures. However, Sri Lankan labor law does not statutorily require employers to conduct domestic inquiries before imposing disciplinary punishments. This study investigated whether courts continue to uphold principles of natural justice in the absence of a legal mandate requiring domestic inquiries, thereby assessing the necessity for legal reforms. Through examining legislation, case law, and academic literature, this study found courts generally only consider if a valid reason exists for the punishment, not whether fair procedures were followed. Further discrimination arises between public and private sector employees in applying natural justice principles. Reforming labor law to mandate domestic inquiries before employee punishment would strengthen natural justice rules and align with international standards like ILO Convention 158. This reform is needed to universally uphold procedural fairness in workplace discipline. Until then, the judiciary cannot fully ensure employees’ rights to fair disciplinary procedures are protected. Courts have upheld natural justice primarily under writ or fundamental rights jurisdiction, mainly benefiting public sector employees. Private sector employees lack that protection. Requiring domestic inquiries before punishment through amending the Industrial Disputes Act would fill this gap. This suggested legal reform would bolster the rule of law in Sri Lanka’s employment relations. As the law stands, employers currently have full discretion on disciplinary procedures. Statutorily mandating domestic inquiries would check that unilateral authority. This study demonstrates the need to embed fair process requirements into labor legislation to fully realize principles of natural justice.