Malaysian workers' lawsuit against Dyson revived by UK court

investing.com 13/12/2024 - 12:19 PM

Court of Appeal Allows Migrant Workers to Sue Dyson in London

LONDON (Reuters) – Two dozen migrant workers who allege they were subjected to forced labour at a Malaysian factory while making parts for British vacuum cleaner manufacturer Dyson can sue the company in London, the Court of Appeal ruled on Friday.

The 24 workers from Nepal and Bangladesh, including one deceased whose estate brought the case, filed a lawsuit against Dyson Technology Ltd, Dyson Ltd, and a Malaysian subsidiary in 2022.

These claimants were employed by the Malaysian firm ATA Industrial or its affiliate and produced components for Dyson products. Their legal representatives assert that the workers experienced unlawful deductions from their wages and faced physical abuse for failing to meet strict performance targets. They argue in their lawsuit at London's High Court that the Dyson entities bear ultimate responsibility.

Dyson, whose Malaysian subsidiary terminated its contract with ATA in 2021, rejects the workers' allegations and contends that any lawsuit should be filed in Malaysia, not Britain.

Last year, the High Court dismissed the case and ruled that the workers should sue in Malaysia. However, the Court of Appeal reversed that decision, stating in a written opinion that London was "clearly and distinctly the appropriate forum" for these cases to be adjudicated.

A spokesperson for Dyson commented, "This was a procedural hearing to determine where the main case should ultimately be heard. The High Court was right last year in its carefully considered ruling that it should be heard in Malaysia, and we disagree with today's appeal decision." The spokesperson added that Dyson is evaluating its legal options.

Founded by James Dyson, the inventor of the bagless cleaner, the company employs approximately 2,500 people in Britain, including at its research and development center in Malmesbury, west England, and announced in July that it would lay off around 1,000 employees.




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