INDUSTRIAL RELATIONS IN MALAYSIA

AN OVERVIEW Andrew Lo, MTUC

LABOUR LEGISLATIONS

• TRADES UNION Act 1959 • INDUSTRIAL RELATIONS Act 1967 • EMPLOYMENT Act 1955 • STATE LABOUR ORDINANCES • EMPLOYEES PROVIDENT FUND Act • SOCIAL SECURITY Act • OSAH Act

Tripartite mechanism

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NLAC NJC Code of Conduct for Industrial Harmony

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Code of Conduct for prevention of Sexual Harassment at Workplace

RIGHT TO ORGANISE

• No person shall interfere with, restrain or coerce a workmen in the exercise of his rights to form or assist in the formation and to join a trade union and to participate in its lawful activities •

Section 4(1) IRA 1967

PROTECTION

• SECTION 5 IRA 1967 • UNFAIR LABOUR PRACTICE • INMUNITY FROM CIVIL SUIT • LEAVE ON TRADE UNION BUSINESS

Restrictions

• Separate Unions for P Mysia, Sabah & Sarawak • Separate unions for establishment, trades, occupation or industry • Exclude certain categories • Cannot organise in place of work without consent

Restrictions

• Secret ballot • Use of union funds • check off • Registration

Statutory Bodies W Mysia 186 Ministry Structure of Trade Unions in Malaysia Trade Unions 510 Employer Unions Employee Unions 510 W Mysia 212 Private Sector 268 Sabah 16 Trade Occupation Industry Sarawak 43 Establishment Public Sector 242 Sabah 18 Sarawak 28 Occupation Department Local Authorities

Collective Bargaining

Recognition Scope

Recognition

• Must be a registered union • Must be competent to represent establishment, trade, industry or occupation • Must be an appropriate union - blue collar/white collar • Must have the majority

Scope

• Successors transferees, assignees • cannot be less favourable that statutory requirements • 2/3 principle • Management prerogatives

Dispute Resolution

• Fact finding • Conciliation • Arbitration • Industrial Action

Section 20 IRA

• Security of tenure of employment • Just cause and excuse • No contractual termination • Due inquiry • General Orders for Civil servants

Trade Union Centres

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MTUC

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CUEPACS

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Federation of Trade Unions

MEMBERSHIP NO OF UNIONS % OF TOTAL MEMBERSHIP

100 AND LESS 101-200 201-500 501-1000 1001-2000 2001-5000 5001-10000 ABOVE 10000

TOTAL

110 85 95 86 62 39 17 16

510

21 17 19 16 12 9 3 3

100

7255 13588 31698 61500 87500 115300 110432 295400

722673 %

1 2 4 9 12 16 15 41

100

MALAYSIA - EMPLOYMENT & UNION MEMBERSHIP

SECTOR

AGRICULTURE MINING MANUFACTURING CONSTRUCTION GOVT SERVICES NON GOVT SERVICES TOTAL

PERSONS EMPLOYED NO % OF TOTAL

1821900 40700 23,50% 0,50% 1699100 547500 872200 2770900 7752300 21,90% 7,10% 11,30% 35,70% 1

TRADE UNIONS NO MEMBERSHIP DENSITY % OF WORKFORCE

34 4 119 5 221 127 510 84415 3117 149549 3062 320719 161747 722609 4,6% 7,7% 8,8% 0,6% 36,8% 5,8% 9,3%