Professional Documents
Culture Documents
Employee and Labor Relations
Employee and Labor Relations
Each party has its rights and obligations; thus each party must be aware
of these rights and obligations in establishing a harmonious industrial
relationship.
LABOR / TRADE UNION
Trade union refers to an organization that represents employees’
interests to management on issues such as wages, work hours and
working conditions.
3.A trade union of a general nature is not allowed. The trade union must
be specified within a particular trade, occupation or industry.
The reasons why workers join trade unions:
1.Economic benefits – higher pay, improved medical benefits, bigger
pensions, longer annual leaves, and more rest breaks.
2.Social needs – enjoy being around others who have similar interests
and desires.
3.Members who are below 18 years old do not have voting rights on
matters of:
a. Strikes and lock-outs
b. Imposition of levy
c. Dissolution of the trade union
d. Amendments of the rules of the trade union
4.Workers from the private sectors can only join unions formed by
workers from the same trades, occupations or industries where he works.
5.Workers from the public sectors can only join unions formed by workers
in the same occupation, department or ministry.
Employees who are not allowed to join trade unions in
Malaysia:
1.Police officers
3.Armed forces
The registered trade union must fill out a claim for recognition form and give
it to the employer.
A copy of the union’s constitution must be given together with this claim.
Employer must reply within 21 days after receiving the claim. Responses
can be either one of the followings:
1.To give recognition
2.To refuse recognition with reasons given
3.Request the Director-General of Industrial Relations to verify on certain
particulars about the trade union.
Invitation to commence CB
• By TU / Employer
• In writing + proposed CA
Trade dispute
Managerial prerogatives:
Managerial prerogatives refer to lists of subjects on which CB is not
possible if the employer refuses to bargain on these subjects:
Conciliation
The process of arriving at a settlement of a trade dispute with the help of a
third, neutral party.
Third party is Department of Industrial Relations (i.e., officers)
Conciliation may be requested voluntarily by the parties or DGIR
DGIR requests are based on “in the public interest” policy
Conduct separately or jointly
Officers can only help the parties to compromise; cannot insist to accept
recommendations and advice
Officers’ roles: identifies issues in a dispute & promotes a settlement
through recommendations and advice
Methods for settling trade disputes:
Mediation
The process of arriving at a settlement of a trade dispute with the help of a
third, neutral party.
Third party is not from the government but an unbiased and impartial as
well as respected and trusted person
Arbitration
An impartial third party is given the authority to settle the dispute by
examining the information given by both sides and making a judgment.
Power to arbitrate labor disputes: Industrial Court
INTERNAL EMPLOYEE RELATIONS
5.Deny grievance on the premise that your “hands have been tied by
management”