When your employer starts taking non-employee workers in - DANGER..DANGER.. for it is start of UNION BUSTING and weakening of employees collectively the ability to fight for better rights. It could also mean RISK to employees - as the employer can start using non-employee workers (workers supplied by Labour Suppliers), and the employer may be moving away from the basic principle of 'equal pay equal work' principle... and we have workers that do the same work who do not enjoy same PAY and same RIGHTS anymore - Employer does not employer obligations does NOT exist for supplied/'outsourced' workers - after all there is NO Employer-Employee relationship with these 'supplied workers' ...
PM Anwar Ibrahim, who is the Finance Minister, is wholly responsible for Government and Government Linked Companies - thus having the POWER to determine their employment practices, and these company's RESPECT for worker rights and Trade UNIONs. SO, why are these GLC or government controlled companies now starting to use NON-employee worker (supplied by Labour Suppliers/Contractors for Labour).
However, PM Anwar Ibrahim has been found to be ANTI-Worker and involved in UNION BUSTING
WHY? For workers to be able to collectively fight for BETTER rights at the workplace - it is FUNDAMENTAL and CRUCIAL that workers can join all other workers in the same workplace/establishment and COLLECTIVELY fight with their employer to get BETTER rights, and also defend existing rights.
THUS, all workers at a workplace/establishment must be EMPLOYEES of the same employer - but if Anwar Ibrahim(as Finance Minister who directly 'control' all government owned or linked companies allow these companies to use NON-EMPLOYEES, it will WEAKEN the strength of workers and their UNIONS. When a workplace/establishment uses 100% employees - the Union is STRONG, but if the workplace/establishment is able to use other workers, NON-EMPLOYEES - THEN the ability for unions and the worker-employee collectively to fight and get better rights is diminished.
When government-owned or linked companies are allowed to increase NON-EMPLOYEES through using more and more workers supplied by agents(Labour Supply Companies/ Contractor for Labour) and/or by outsourcing work to other companies > the end result is the decline of EMPLOYEES at the workplace ...soon there may be no more employees as they are replaced slowly by non-worker employees > and this WEAKENS the ability of the employees collectively and their Unions to fight for more RIGHTS.
WHY should the EMPLOYER be bothered anymore - because they can still survive and continue operating by using workers who are not their EMPLOYEES > thus this is UNION BUSTING and a deliberate action of weakening worker's ability to fight for better rights with their employer..
PREVIOUSLY, all workers including cleaning staff, security and other staff like school gardeners were all PUBLIC OFFICERS employed directly by the government, who generally enjoyed employment security(because government seldom terminate employment), REGULAR employment(because they work until RETIREMENT Age) and also PENSION rights...
Then, the GOVERNMENT(during the BN era) 'dismissed' all these government workers who were involved in CLEANING, school gardeners and security [Now most of these affected were the POOR B40 Class] - and the government chose to 'OUTSOURCE' the work to private companies...some of these former government employees may have been absorbed by these private companies - but many were not.
The former mostly B40 class of workers LOST their REGULAR Employment Until Retirement and their pension rights, and they lost EMPLOYMENT Security > they ended up with PRECARIOUS EMPLOYMENT - no more REGULAR employment but short term contract employment, and EMPLOYMENT security was gone - so too PENSION rights...
In some cases, the companies that got OUTSOURCE work like cleaning at hospitals/schools/other government departments were Government Owned or Linked Companies, all of which was still under the CONTROL of the Government > the Minister of Finance Anwar Ibrahim >>> so we thought that their worker rights and their UNION rights will be protected BUT now we see that we may have been WRONG...
Take one example, Government Hospitals > Cleaning work in some government hospitals was outsourced to some GLCs like UEM Edgenta..
UEM Edgenta is owned by UEM Group Berhad, which is a wholly-owned subsidiary of Khazanah Nasional Bhd, the sovereign wealth fund of the Government of Malaysia.
UEM Edgenta has got outsourced work from the Government of Malaysia for cleaning work in many Malaysian public hospitals, and thus they have been using UEM Edgenta EMPLOYEES for hospital cleaning work... and these employees now have their own TRADE UNION.
HOWEVER, IF say UEM Edgenta now start entering into agreement with Labour Supplier to supply workers for this cleaning work > then REASONABLY the number of direct employees will REDUCE to be replaced by workers(not direct employees of UEM Edgenta, but rather employees of some other company - the labour supplier).
The effect is the number of employees of UEM Edgenta working at government hospitals may slowly be reduced > as the usage of non-employee workers increase.
When the direct employees of UEM Edgenta doing cleaning work in GOVERNMENT hospitals reduce - the once 100% direct employees of UEM Edgenta also reduces - DIRECT IMPACT is UNION BUSTING - the union is weakened slowly and may ultimately be KILLED when and if MAYBE slowly UEM Edgenta may have ZERO or so few direct employees doing cleaning work in hospitals - as UEM Edgenta changes its workforce from DIRECT EMPLOYEES to a worker-non employee in the UEM Edgenta workforce that does the cleaning work at hospitals...
THUS, IF THIS HAPPENS IN A GLC/GOVERNMENT OWNED COMPANY - THE PERSON TO BE BLAMED IS FINANCE MINISTER ANWAR IBRAHIM AND THE GOVERNMENT - BECAUSE THE PRACTICE OF USING NON-DIRECT EMPLOYEES OF UEM EDGENTA WILL DEFINITELY WEAKEN THE TRADE UNION NOW REPRESENTING UEM AGENTA EMPLOYEES DOING THIS CLEANING WORK - THUS, IT WILL BE UNION BUSTING, AND WEAKENING THE CAPACITY OF UEM AGENTA EMPLOYEES TO FIGHT FOR BETTER WORKING CONDITIONS AND WORKER RIGHTS...
When a UNION represents 100% of UEM Edgenta EMPLOYEES, it is STRONG - but when UEM Edgenta start using non-UEM EDGENTA employees to do the cleaning work, naturally the UNION is weakened.
When UEM Edgenta in future, have the cleaning work done by a smaller number of direct employees - will it not be LESS bothered with such UNIONs KNOWING that even if the said UNION decides on a STRIKE - UEM Edgenta can still proceed with its cleaning of hospital work because it has a workforce of NON-EMPLOYEE workers supplied by other companies??
CAN THESE NON-EMPLOYEE WORKERS ALSO JOIN THE UNION?
YES, if the UNION amended its RULES/CONSTITUTION - but then since the Collective Bargaining Agreement between UNION and UEM Edgenta will only affect direct EMPLOYEES of UEM Edgenta > BUT not other non-employee workers.
For the UNION to be able to act and improve rights of non-employee workers, the UNION will then have to have a COLLECTIVE Barganing Agreement with also the EMPLOYER of these non-employee workers > and it may not be JUST 1 Employer that supplies workers to one workplace - the trend has been to use MANY DIFFERENT Labour Suppliers, each supplying a certain number of workers > WOW, so how many Coillective Bargaining Agreements is that.
MAJOR problem is many of these LABOUR SUPPLIERS supplies workers to all kinds of industries and sector, not just workers to clean hospitals, and the number of employees of these Labour Suppliers can be HUGE working in all kinds of sectors from cleaning to manufacturing, construction, agriculture, etc > so IMAGINE how difficult/impossible for a TRADE UNION to organise workers in Labour Supply Companies. Imagine how difficult the Collective Bargaining Agreement is going to be when employees of Labour Supply company works in so many different sectors/industries - because through CBA the UNION must address such a WIDE RANGE of workers - even provisions to improve working conditions may VARY ... AND then WILL THE UNION BE 'RECOGNIZED' BY THE LABOUR SUPPLY COMPANY - wherein Malaysia, recognition is a MANDATORY pre-requisite, and if the company does not
Since Anwar Ibrahim is the Finance Minister - THUS having control of what a GLC or Government Owned Company does - ANWAR IBRAHIM may be held responsible for UNION BUSTING or the weakening of the capacity of the Trade Union and/or employeee-worker's collective strength to fight for better rights of workers...
AS Anwar Ibrahim is the PRIME MINISTER, he is also ultimately has the power to determine how the GOVERNMENT acts - Government Hospitals/Departments should not enter into any OUTSOURCING of work with any companies, that fails to use ONLY direct employees - thus preventing UNION BUSTING and the 'weakening' of worker-employee right to collectively struggle to get better rights from employers.
If it is 100% employees in a company, the UNION is strong as should be. If a company has less than 100% of all workers(when non-employee workers come into the picture) the UNION is weakened - and the rights of worker-employee to fight for better rights is also weakened. What if there are only 50% direct employee-workers or maybe even 5% direct employee-workers > then the UNION is literally 'DEAD" - for WHY would any employer who is using so many non-employee worker LISTEN to any UNION and consider worker right improvement? What can the UNION do - at worst STRIKE - but then the company can still continue operating as usual using the non-employee workforce?
In labor terminology, a "blackleg" is a derogatory term for a strikebreaker or scab. It refers to an individual who continues to work during an authorized union strike or takes the job of a striking worker to undermine the union's efforts
'Blacklegs' were scum that weakened UNION struggles - In a strike, they continue working thus the STRIKE will not affect the company. SADLY, in Malaysia, the government by LAW has legalized 'blacklegs' - when they allowed companies to use non-employee workers supplied by labour suppliers.
The use of labour suppliers(or Contractor for Labour) started around 2006 - initially ONLY for Migrant Workers - but today it involves LOCAL WORKERS too. Since, then, the government has amended laws to protect these labour suppliers...
In the past, we had the Private Employment Agency - what it did was to find workers for employers > when the employer accept the worker, he/she automatically becomes the employee of the employer, and for its service, the Private Employment Agency gets a FEE. FULL STOP.
Then, this CHANGED after 2006 - and now the same Private Employment Agency continues to be the EMPLOYER of the worker - and so worker(not still employee of the Labour Supplier) works at the factory/workplace as NOT an employee of the workplace.
Another VIOLATION of a basic principle "Equal pay for equal work"
In Malaysia, now the workers do the same JOB but there exist 2 Classes - First, the direct employees of the principle/owner of the workplace, and Second, the NON-Employee Workers, who can be supplied workers(called sometimes 'outsourced' workers who are employees of Labour Suppliers no the owner/principal of the workplace)
PAY
Direct employees are paid by the priciple/owner of the Workplace;
Non-employee worker are paid by their own employer(the Labour Supplier):
DO THEY EVEN GET THE SAME WAGE for the SAME WORK? Probably NOT - likewise these 2 kinds of workers also do NOT GET EQUAL TREATMENT.
Direct employees have the RIGHT to claim for better working conditions, better wages, ...directly from the owner/operator who is their EMPLOYER.
Non-employee workers have NO SUCH RIGHT - because they have NO EMPLOYMENT RELATIONSHIP with the Principal/Owner of the Workplace who has the power/capacity to improve working conditions/worker rights at the workplace. (Of Course, Labour Suppliers have NO CONTROL at the workplace or the capacity to improve working conditions/rights at work - and their agreement with the pricipal/owner is simply to supply a certain number of workers...FULL STOP)
Interestingly, Malaysian LAW gives the Minister the power to OVERCOME this worker rights violations - The MINISTER needs to just issue an ORDER under Section 2A Employment Act - YES, a simple ORDER will make all existing non-employee workers into direct employees of the principal or owner of that agricultural or industrial undertaking, constructional work, trade, business or place of work; or (b) that statutory body or that authority.
Section 2A Minister may prohibit employment other than under contract of service [EMPLOYMENT ACT 1955]
(1) The Minister may by order prohibit the employment, engagement or contracting of any person or class of persons to carry out work in any occupation in any agricultural or industrial undertaking, constructional work, statutory body, local government authority, trade, business or place of work other than under a contract of service entered into with-
(a) the principal or owner of that agricultural or industrial undertaking, constructional work, trade, business or place of work; or
(b) that statutory body or that authority.
(2) Upon the coming into force of any such order, the person or class of persons employed, engaged or contracted with to carry out the work shall be deemed to be an employee or employees and-
(a) the principal or owner of the agricultural or industrial undertaking, constructional work, trade, business or place of work; or
(b) the statutory body or local government authority,
shall be deemed to be the employer for the purposes of such provisions of this Act and any other written law as may be specified in the order....
THUS, this is WHY Anwar Ibrahim, Prime Minister and Finance Minister, may be GUILTY of UNION BUSTING - and anti-Union anti-Worker behavior...
Government and GLC Anti-Union Busting and undermining of worker/Union power to get better rights
1. It must be pointed that all workers in any establishment must be EMPLOYEES of the owner/principal of the workplace. HENCE, it is important that the Owner/Principle is NOT ALLOWED to use workers, not their OWN employees at the workplace/establishment BECAUSE if it does so, it INTENTIONALLY weakens UNIONS and the ability to fight/convince employers to agree to better rights and working conditions of worker(employees) at the workplace or establishment.
2. If a principle/owner of an establishment is allowed to use NON-EMPLOYEES > be it by agreements with Labour Suppliers(Contractor for Labour) or by outsourcing existing work to some other companies > it WEAKENS Trade Unions and worker struggle for better rights > It is a return of the draconian 'DIVIDE and RULE' strategy similar to what the British Colonial Government did to the Malaysian labour movement.
3. AS it is for Malaysian government hospitals, schools and a lot of other government departments - the government have started OUTSOURCING work to other companies(including GLCs) > effects that what was once ALL workers were under the hospital/schools/government departments - EMPLOYEES of the government > suddenly find themselves no more PUBLIC OFFICERS - and suddenly workers still working in the same government hospitals/schools/departments but NOW they are EMPLOYEES of some other company - thus NO more can they fight as ONE UNION of employees of the said government hospitals/schools/departments but have to re-organise as UNION of employees of these companies(some still GLCs) to fight together in defence of worker rights, and for the promotion of better rights...
4. IT becomes even worse for Workers and Unions if the then current companies(some GLCs) then again move to using labour suppliers (who supply their employees to do the work) or even OUTSOURCE again to other companies > thus weakening again TRADE UNIONS and worker employees of even those companies that now do work at Hospitals/Schools/Government Departments by now starting to use other AGENTS(Labour Suppliers/Contractor for Labour) who then supply their employees to do the same work .....SOON the companies that got and do 'outsourced work' like cleaning, maintenance, security ...at these hospitals/schools/government departments may reduce their OWN employees > and soon all who do the work may be employees of other companies...
WHAT SHOULD UNIONS and current EMPLOYEES do FAST to protect worker rights and Union Rights?
1 - UNIONS can through their Collective Bargaining Agreement(CBA) - make EMPLOYERS agree that all workers SHALL be direct EMPLOYEES of the Company/Employer - Thus, NO use of workers from Labour Supplier, or no outsourcing of work to other companies, work that are currently done by EMPLOYEES of the Company. WHY? Only employees can benefit from CBA because that is an agreement of Union(representing only employees of the Company) and the Company...
2 - Where the employer companies have already EMPLOYEES and NON-EMPLOYEE workers > then PRESSURE Company to absorb all non-Employee workers as EMPLOYEES of the company, who then can join the Union and enjoy all benefits from CBA. Alternatively, PUSH the Government, i.e. the MINISTER, to issue the ORDER(under Sec.2A Employment Act) that will automatically make non-employee workers into EMPLOYEES. - 'Upon the coming into force of any such order, the person or class of persons employed, engaged or contracted with to carry out the work shall be deemed to be an employee or employees and-(a) the principal or owner of the agricultural or industrial undertaking, constructional work, trade, business or place of work; or (b) the statutory body or local government authority, shall be deemed to be the employer...
Sample CBA clauses to protect the UNION and the employee-worker it represents or can represent - that will PREVENT employer from using non-employee workers that weaken UNION.
"The Employer recognizes the Union as the exclusive bargaining agent for all employees performing work in the Company(Employer) All work traditionally or historically performed by employees shall be performed exclusively by employees only. Non-employee workers, be they employees, supervisors, and independent contractors shall not perform or be used to perform any work which is capable to be performed by employees, now capable of being UNION members and covered by the CBA between Union and Employer"
To prevent sub-contracting of work that are or could be done by employees, who could be represented by the UNION
"The Employer shall not subcontract or assign any work presently performed, or hereafter assigned, to the employees, who can be members of the UNION to any outside contractor, person, or entity."
When sudden need for temporary/casual workers arise
"Temporary or casual workers, including those provided by employment agencies or labour suppliers, shall not be utilized to supplement the regular workforce. Any such temporary or casual workers individual performing work for the Employer for more than [e.g., 30 consecutive or cumulative days] shall immediately be classified as a regular employee, placed on the seniority list, and granted all rights and benefits under this Agreement(CBA) and shall be able to join the Union."
With such clauses in the CBA, UNION can protect itself and all EMPLOYEES who can be members of the UNION. Noting the RIGHT of employees to join or not join a UNION.
The ABOVE is how a UNION can protect itself from UNION Busting, and also protect the employment, now and in the future, of its members - the EMPLOYEES at a workplace/establishment/company.
NOW, the Government also has the power to ensure that ALL workers at any establishment/workplace/company are all direct employees of the owner/operator/principle employer - All that needs to be done is for the MINISTER to issue a Section 2A Employment ACT ORDER that will automatically make all non-employee workers into EMPLOYEE of the the owner/operator/principle employer ...
NON-EMPLOYEE workers are the MOST PRECARIOUS workers in Malaysia
1 - An employee of a Labour Supplier/Contractor for Labour has no definite place or type of employment because most labour supply agreements entered into with the owner/operator/principal of a workplace are NOW merely for the supply of CERTAIN NUMBER of workers, meaning today you may be working in hospital cleaning, but tomorrow you may forced to be some agricultural worker. So, workers brave enough to claim for rights MAY just see themselves working in some other sector the moment he/she speaks up or maybe even join some Union...SO EASY TO GET RID OF WORKERS - and the 'supplied worker' has NO RIGHT to complain about about the change of workplace anytime...'
2 - In practice, when the Labour Supplier/Contractor for Labour supplies a worker to work in any workplace/company - the one who is in control or who supervises the worker is effectively the owner/operator/principle of the workplace - and only the owner/operator/principal has POWER to improve working conditions > but the 'supplied worker' has NO RIGHT to demand better working conditions from owner/operator/principal because there no employer-employee relationship with the owner/operator/principal - and the owner/operator/principal has NO EMPLOYER obligations to such supplied worker - THIS IS SO UNJUST and WRONG... Note the Labour Supplier does not have any RIGHT to demand the owner/operator/principal to improve working conditions generally.
3 - The WAGES, Annual Leave, Sick Leave and other worker rights - it all COMES from the EMPLOYER, so the 'supplied worker' will get it from their EMPLOYER(the Labour Supplier, who most times is NOT where the worker works) - HENCE, although the supplied workers did the SAME WORK as other employees, he may not get the SAME WAGES, bonusses or other work benefits. Malaysia recently amended the Labour Laws, changing 'workers' to 'employees' - and this makes such 'supplied workers' NOT Employees of the owner/operator/principal in a MORE UNJUST situation.
4 - Eventhough the Trade Union Act has been amended, which allows UNIONS to organise 'supplied workers', the Trade UNION will still need to enter into a CBA with these labour suppliers - a major problem is that Labour Suppliers have NO CAPACITY/ABILITY to improve working conditions or rights at the workplace. 2nd problem is that Labour Suppliers supply 'their employees' to so many different workplaces - and the LAW still requires RECOGNITION by the Labour Suppliers - and now it is still 50% or more of the employees > will a UNION focussed on employers of certain type be able to get it, or be able to effectively represent employees from so many different types of workplace/industries??? The 50% plus recognition requirement MUST BE ABOLISHED.
5 - Supplied Workers > Do they have a RIGHT to claim Wrongful Dismissal and REINSTATEMENT. Reinstatement justly means getting back one's job in the same place when they were dismissed. But 'supplied workers' do not have a DEFINITE employment/job - they are workers who have to work wherever their Employer(Labour Supplier) decides they should work...So, the supplied worker was doing cleaning work in a hospital - BUT even he gets reinstated, he/she will not get the same job...
The issue of worker rights and the ability to generate monthly income to live is so FUNDAMENTAL - but sadly many politicians and political parties DO NOT PRIORITIZE this in their party priorities...or their ELECTION Manifesto.
Workers NEED JOBS - but what they need is EMPLOYMENT SECURITY - and that means REGULAR EMPLOYMENT(employment until Age of RETIREMENT) - not short-term contract employment that means they have to find new jobs after 1 year or when contract ends. A Malaysian worker wants REGULAR and DIRECT EMPLOYMENT - so he/she can settle down nearby, buy a house, join the school and other communities around - SETTLE DOWN. He/she does not want UNCERTAINTY in employment - and the STRESS of having to find new jobs and starting at the bottom all over again...and sometimes 'forced' to move to another town.
GOVERNMENT can by LAW ensure that all Malaysian workers get REGULAR EMPLOYMENT (until retirement although still can lose jobs because of serious misconduct or employer retrenches because of no more job or 'closing down')
Government by LAW can ensure that ALL at a workplace are EMPLOYEES of the owner/principle of the business > something recognized in Section 2A Employment ACT - Thus preserving UNIONs and/or workers collectively to FIGHT for better rights and working conditions...
This is a concern of all Malaysian Workers and their families, and also families of future workers - and they are the MAJORITY of VOTERS in Malaysia - so CHOSE MPs/ADUNs and Parties that COMMIT (not make 'false promises') that will protect workers...
IF YOU VOTE THE WRONG PARTY INTO GOVERNMENT - then, it is your own fault and suffer the consequences...So, do not vote for someone because he/she is of the same ethnicity/religion BUT look at what he/she will do to improve WORKER and TRADE UNION Rights - which is crucial for OUR future wellbeing...
AI/Automation will cause loss of HUMAN JOBS - so what will the political party do about this?
A RICH person sometimes just do not understand the problems of ORDINARY people...so, do we VOTE for people that understand...???
TO DATE, we can say that the BN, and now PH-BN has FAILED to protect worker rights - and some government have been shown to be PRO-EMPLOYER or PRO-BUSINESS - not pro-worker???
HAS THE MALAYSIAN GOVERNMENT ALSO started to use NON-EMPLOYEE workers, and have started denying workers REGULAR EMPLOYMENT by resorting to SHORT-TERM Contracts? NOW, we have a REAL problem...
An AI result > Already 25-30% are NOT REGULAR employees but on fixed-term contracts or other non-standard employment arrangements
Malaysia has approximately 16.8 million employed persons, with employees making up about 75% (~12.5 to 13 million) of the total workforce. Roughly 70% to 75% of this group are permanent workers, while the remaining 25% to 30% are on fixed-term contracts or other non-standard employment arrangements.
If you do not have REGULAR EMPLOYMENT - what happens to your housing loan/car loan monthly obligations when your contract ends in a year or more, and you are out there struggling to find a NEW job with about the same pay? When you don't pay, the Banks come and ...
The MALAYSIAN GOVERNMENT is responsible for ALL - and it must ensure REGULAR DIRECT EMPLOYMENT that is secure - if not very difficult for many Malaysian people ...
Malaysian Labour LAWS advocate for REGULAR EMPLOYMENT and provides for BETTER RIGHTS the longer you work in the same employment --- SECURITY OF TENURE is there > Your annual leave/sick leave/etc increases the longer you are in the same job under the SAME employer...
See also:-
No more loss of UNION membership after loss of employment(wrongful termination/retrenchment, etc) - Positive NEW law - for workers
Malaysian Unions no more restricted to just ONE establishment, trade, occupation or industry - possible return of Stronger General Labour Union, and stronger Trade Unions - will UNIONS ACT?
AI/Automation and Loss of HUMAN Jobs? "DARK Factory' - no human workers? >> Which Government/Political Party Protects Workers and their JOBs? Universal Basic Income (UBI)?
Prioritize worker rights, safety and health at workplaces when dealing with illegal factories(31 groups)
50 kumpulan - INKUES UNTUK SEMUA KEMATIAN PEKERJA DI TEMPAT KERJA - Dakwa untuk kesalahan membunuh dan menyebabkan kecederaan, bukan sekadar ketidakpatuhan obligasi keselamatan dan kesihatan pekerjaan
The state of the labour movement in Malaysia (Part 1)
The origins of the labour movement in M’sia (Part 2 of a series)
How the British suppressed the Malayan labour movement (Part 3)
The last breath of the labour movement?(Part 4)
Worker, trade union rights must be prioritised for well being of workers, their families
Almost four dozen civil society organisations have called on the government to prioritise the rights of workers and trade union to ensure the well being of workers and their families.
We, the undersigned 47 civil society organisations, trade unions and concerned groups, make the following demands to better protect worker and trade union rights in Malaysia.
It is sad when a government places the interest of businesses, investors and employers over the rights and welfare of workers and their families.
1. Stable regular employment until retirement age – abolish precarious short-term employment contracts
The right to permanent regular employment until retirement age is essential for the economic wellbeing and financial stability of the worker and their families.
A short-term or fixed term employment contract is a form of precarious employment that must be abolished. It allows for the denial of the right of retirement at 60, maternity rights and benefits, increments of rights which comes with tenure and makes it near impossible for such workers to form, join or even serve as leaders in existing unions.
Such short-term employment contracts, usually a year or less, with no right of extension even if the work still exist, weaken workers’ capacity to struggle for better worker rights and certainly weakens unions or makes unionisation impossible.
We call for a guarantee of the right to regular employment until retirement and the abolition of short-term employment contracts and similar precarious employment practices.
2. Abolish the ‘contractor for labour system’ – ensure direct employment relationship between workers and owners/operators of workplaces
A direct employment relationship with the owners/operators of the workplace, known as the principals, is essential to ensure stable employment, noting that employers do have the obligation to ensure worker rights and welfare are best protected.
Contractors for labour (COL) should never be employers, and their role, if any, is to supply workers to owners/operators of workplaces or alternatively to find workers work with employers who need workers, and for the service rendered they should be paid a fee.
It is the owners/operators of workplaces, known as the principals, who should be having a direct employment relationship with the workers that work at their workplaces. This demand, amongst others, had been made vide the joint statement by 93 groups dated 3 May 2012 entitled, ‘Abolish the ‘Contractor for labour’ system – Withdraw the 2012 amendments to Employment Act 1955’, and also vide the earlier statement by 115 groups on 28 October 2011 entitled,‘Malaysia must protect worker and union rights and withdraw proposed unjust amendments to Employment Act – Labour suppliers should not be employers’.
We also draw attention to the Malaysian Bar Resolution of 2012 expressing the same sentiment, which amongst others said, “The Malaysian Bar takes the stand that labour suppliers and/or contractors of labour should never be or continue to be employers of workers after they are supplied, accepted and start working at the workplaces of principals or owners. Thereafter, these workers shall be employees of the principal or owners of the workplace.”
We also recall the MTUC initiated pickets and protests against the ‘contractor for labour’ system.
3. Prevent outsourcing of work, ‘breaking up of employer companies’ and other such schemes which effectively destroy worker solidarity and are acts of union busting.
To avoid trade unions and an employer relationship, some employers are outsourcing parts of their work to third party contractors who then use their own employees to do the work.
This happened in the plantation sector, and the National Union of Plantation Workers(NUPW), which once was a strong union with many members, is today so much weakened even though the number of workers in the plantation sector has remained the same or even increased. Another example, is what happened to the banking sector when certain aspects of the banking industry work like phone and internet banking were outsourced to third parties.
Outsourcing of work is yet another ‘union busting’ strategy that weakens trade unions and deprives union members of the benefits of existing Collective Bargaining Agreements.
Another method is to break up one company into different smaller companies, something that Tenaga Nasional Berhad (TNB) is now considering. This has been strongly opposed by the four existing unions representing the many workers in TNB. The break-up action would result in the weakening of existing strong unions and possibly in depriving existing members of benefits and rights they now enjoy through Collective Bargaining Agreements.
When new companies are formed, workers who find themselves in these new entities would have to go through the long process of forming unions, then getting union recognition all over again, and entering into new CBAs with their new employers, a process that can take years.
We support the statement of the four trade unions of TNB workers, being Persatuan Eksekutif Tenaga Nasional Berhad (PETNB), Kesatuan Percantuman Pekerja-Pekerja TNB (KPPPTNB), Tenaga Nasional Junior Officers Union (TNBJOU) and Persatuan Unit Keselamatan TNB (Perunika) dated 14 November 2013 opposing the proposal to break up TNB.
4. Stop the termination and persecution of union and worker leaders for activities to advance worker rights and highlight injustices
When the president of the National Union of Flight Attendants Malaysia (Nufam) issued a statement as union president highlighting also some of the pending issues yet to be dealt by Malaysian Airlines (MAS), he was terminated by reason of issuing a statement as an employee.
53 organisations issued a statement on 3 March 2014 entitled, ‘Malaysian Airlines must respect trade union and worker rights – Cease anti-union activities against Nufam and its members’, and we also refer to the earlier statement by 43 groups on 3 December 2013, entitled, ‘MAS must immediately revoke suspension of union president Ismail Nasaruddin – Worker rights issue should be resolved by negotiations not ‘union busting’’.
Likewise, 18 workers were terminated by DRB Hicom for handing over a Malaysian Trade Union Congress (MTUC) memorandum to candidates contesting in the last general election, where the object of the MTUC was to get a commitment from incoming parliamentarians with regard to worker rights.
We reiterate the statement by 51 groups issued on 25 June 2013 entitled, ‘DRB Hicom must respect the citizens’ right to participate in the democratic process in Malaysia – Stop disciplinary action against workers for exercising their political rights.’
Many other trade union leaders have been terminated for highlighting injustices affecting workers, amongst others Abdul Jamil Lalaludeen and Chen Ka Fatt who were, respectively, the vice-president and the honorary treasurer of the National Union of Bank Employees (Nube); Hata Wahari, the president of the National Union of Journalists; Ismail Nasaruddin, the president of Nufam; and Wan Noorulazhar, the president of the Electronic Industry Employees Union Western Region, Peninsular Malaysia (EIEUWR).
We recall the joint statement by 87 groups dated 4 April 2013, ‘Renesas must immediately accord recognition to the union and reinstate Wan Noorulazhar.’
We call for the end of terminations, discrimination against and other forms of persecution against unionists and workers’ leaders, all of which could be rightly perceived as union busting by bad employers, which may be perceived as being condoned by Malaysian government.
We call for a repeal of the law that now allows employers to terminate unionists by simply treating such cases as employee misconduct. For example, Nufam’s president was terminated because MAS said that the act of an employee issuing a media statement was amounted to misconduct.
5. Right to a domestic inquiry before being terminated
Ismail Nasarudin and four other from Nufam were recently terminated without even a domestic inquiry. In the spirit of industrial harmony and justice, when an employer alleges a misconduct, natural justice demands that workers be accorded the right to be heard and the right to defend themselves against the allegations in front an independent panel.
In the case of the 18, who were terminated by DRB Hicom subsidiaries, they had a domestic inquiry but were denied the right to be represented by a representative of their national union. They were only allowed to be represented by a worker from their own workplace.
Noting that the
majority of workers are not even unionised, it is essential that in the
interest of justice, all workers shall have the right to a domestic
inquiry, and this should be provided for in law. There must also be the
right accorded to affected workers to be represented by a lawyer,
unionist or worker of their choice.
6. Misconduct needs to be statutorily defined
Employers have been arbitrarily increasing the number of misconduct cases, many of which are vague and some even undermine the fundamental rights of workers or their unions, including the right of workers to highlight injustices, fight for better rights or even make representations to the relevant authorities to complain about the violation of rights.
In the case of the DRB Hicom, an alleged misconduct was the “bringing about or trying to bring about any form of influence or outside pressure to submit or support any external claim that is related to service be it an individual claim or claims of other employees”.
Now, how can this be misconduct when it really is what workers and unions do – that is highlight and campaign for support and hence “exertion of pressure”, etc… on employers, which by the way is also the object of any worker pickets. It is absurd when this very right is made into misconduct.
51
groups issued a statement on 25 June 2013, ‘DRB Hicom must respect the
citizens’ right to participate in the democratic process in Malaysia –
Stop disciplinary action against workers for exercising their political
rights.’
Now, workers in MAS are facing disciplinary actions for bringing their grievances to the Ministry in Putrajaya.
Workers’ misconduct should never (be used in an) attempt to diminish worker rights, freedom of expression, rights as citizens and other human rights. Like criminal offences, misconduct must be clearly stipulated including also the penalties that may be imposed by employers in the event the misconduct is proven or admitted.
For the protection of
workers, there must be laws that define employment misconducts, limiting
it to matters at the workplace or reasonably related, but never to
prevent worker organising, union building and union activities. Attempts
by employers to control the personal life, freedom and human rights of
workers especially outside working hours should never be permitted.
7. When the termination of a worker has been determined to be without
just cause, the right to be reinstated without loss of benefits must be
guaranteed
When a worker is wrongfully dismissed, justice is sought by the worker seeking reinstatement by lodging a complaint which ultimately goes to the Industrial Court , which decides whether it was a wrongful dismissal or not.
If the worker has been wrongfully dismissed, the employer should justly be ordered to reinstate the worker without loss of benefits. Alternatively, the worker should be able to claim compensation in lieu of reinstatement.
In Malaysia, the choice between reinstatement and compensation is taken away from the worker, and placed in the courts, which now generally do not order reinstatement.
In 2007, a new Scheduled 2 was added to the Industrial Relations Act 1977, which unjustly now not just limits the quantum of compensation in lieu of reinstatement to not more than 24 months, and for probationers not more than 12 months but also provides further deductions. This, rather than deter employers from wrongfully dismissing workers, now emboldens them to use ‘wrongful dismissal’ as a means to get rid of worker and/or union leaders.
This anti-worker
Schedule 2 must be repealed, and the choice of accepting reinstatement
or compensation must be restored to the aggrieved worker.
8. Probation and other rights should be protected by the law for all workers
More than 92 per cent of workers in Malaysia are not unionised, and as such they do not have the mechanism of Collective Bargaining Agreements that may allow the recognition of basic worker rights, now absent from labour legislation, to be enjoyed.
Probation is one such right, which reasonably for regular employees, should never be more than three months, being more than sufficient time for employers to assess the suitability of workers to be considered and confirmed as permanent employees until retirement.
Now, many employers abuse this gap in the law, and keep workers as probationers for very long periods, sometimes even years, and this is because workers on probation has far fewer worker rights compared to confirmed regular employees.
The law must now fix the maximum length of probation, and include a deeming provision that after three months, employees shall be deemed to be confirmed employees.
9. Expedite trade union registration and recognition
While time limits and consequences for failure to do something are there in the law for acts to be done by workers and their unions, there is an absence of similar provisions when it comes to employers.
The recognition of the trade union in the case of Renesas took about four years. In this case, there were times that the employer, Renesas, failed to comply with explicit instructions by the Ministry or there was delay in complying with the law, and this was possible when the law provides no time limits or the consequence for employers failing to do something – this allows employers to so easily delay and even ignore worker and trade union rights.
Recognition of trade unions, a condition that needs to be satisfied in Malaysia before employers and trade unions are allowed to enter into Collective Bargaining Agreements, must be expedited and dealt with speedily, preferably taking no longer than three months. The outcome of the ‘secret ballot’ must just be based just on the number of votes cast, whereas now it unjustly considers those who should have but did not manage to cast their votes as being votes against the union.
The right to judicial review is acknowledged, but when employers resort to using it to delay recognition of trade unions, it is essential that such proceedings in courts are proceeded with speedily to prevent the denial and delaying of worker and trade union rights.
It is shameful how some employers are willing to do whatever to deny workers their rights. Malaysian Airlines (MAS), for example, is embarrassingly challenging the Minister’s decision to accord recognition of Nufam after the secret ballot conducted clearly showed that 62.73 per cent of flight attendants in MAS wanted Nufam as the union representing them.
In the case of Renesas, union recognition was delayed for a year or more by reason of judicial review and appeals initiated by the employer.
As a matter of policy, such judicial review and appeals should be speedily disposed of as delays affects worker rights, and these court actions should never be allowed to delay the union recognition process or the execution of Collective Bargaining Agreements.
10. Trade disputes must be resolved expeditiously and the status quo pending resolution must be maintained
History shows that it is strikes and industrial actions that have been the most effective means available to workers and their unions in resolving disputes with employers and claiming rights.
But Malaysia has interfered with this option to the detriment of workers and unions and has adopted a preference for dealing with trade disputes vide negotiation and arbitration. As such, this process must be done speedily, and workers and unionists must be effectively protected from termination and discrimination by employers, more so pending the resolution of trade disputes or complaints.
The majority of the trade disputes are initiated by workers and unions, who many a time have to suffer termination, discrimination or violation of rights whilst employers continue their business operations as usual. As such, justice demands that trade disputes be resolved speedily, no longer than 30 days, and that any worker who has been terminated pursuant to the filing of or related to a trade dispute should continuously be paid normal wages until the said dispute is resolved.
Employers should be barred from terminating workers or unionists who have lodged trade disputes and/or complaints until the matter is resolved.
11. Migrant workers should not be discriminated against
Equal pay for equal work is just. It is wrong for migrant workers to be discriminated against with regard to the right to minimum wages, as an example, where the government is suggesting the making of migrant workers to now pay the levy, which was a payment imposed on employers to deter employers from employing migrant workers over local workers.
82 groups issued a statement on 8 February 2013, ‘Minimum wages for all workers, including migrant workers – No to wage deductions to recover levy payable by employers.’
12. The unilateral giving of exemptions granted to employers to evade rights provided by law must stop
The law provides for worker rights, but many a time there are provisions that allow the Minister to provide exemption to certain employers.
For example, the maximum eight-hour working day or 48 hours working week can also be avoided if the employer gets an exemption. The exemptions are granted without the prior knowledge of, let alone according the right to be heard to, the affected workers and/or their unions. There is the possibility to challenge the exemptions within a limited time frame, but workers, especially those without trade unions, just do not have the capacity to challenge such decisions.
Justly, the right to be heard and contest applications for exemption must be granted to the workers or their unions, before the decision. In fact, employers should never be granted exemptions that would deny workers their worker or trade union rights.
13. Minimum wages must be sufficient to sustain a decent livelihood
All workers in Malaysia are supposed to be receiving minimum wages as of 1 January 2014. But alas the quantum of minimum wages fixed in 2012 at RM900 for Peninsular Malaysia and RM800 for Sabah and Sarawak is no longer sufficient to ensure a decent livelihood for workers and their families given the large increases in the cost of living.
While public sector workers also get a Cost of Living Allowances (Cola), the majority of workers are in the private sector and they do not get Cola. Using also the fact that the Malaysian government has declared that households earning less than RM3,000 are in need of financial assistance, it is only logical that minimum wages be increased for all workers to at least RM1,500.
Cola should also be made a legal right for workers, especially for lower-income workers. Minimum wage rates should also be reviewed at least every six months, taking into account the speedily increasing cost of living and the money required to ensure a decent livelihood for workers and their families.
14. The right to unemployment benefits
In this day and age when employment is precarious, there is a need for the government to put in place unemployment benefits to assist workers temporarily out of job and their families. Even if out of job and deprived of an income, regular payments for rental, basic amenities, car and housing loans, children’s education, etc is required of the unemployed worker.
Without financial assistance in the form of an unemployment benefit, the lives of the unemployed workers and their families will be seriously affected. This safety net for workers is something that is available in many countries, including neighbouring Thailand.
15. Non-discrimination based on gender
While our Federal Constitution guarantees equality, courts have found that the obligation not to discriminate workers based on gender is only on government and statutory bodies – not on private sector employers.
This goes against the Convention on the Elimination of All Forms of Discrimination against Women (Cedaw), which Malaysia has ratified. The laws must be amended to ensure that all employers do not discriminate against workers based on gender or any other forms of discrimination.
16. Occupational safety and health at the workplace
The Department of Occupational Safety and Health (Dosh) recorded 1,248 workplace accidents in 10 sectors in the first five months of 2013, which resulted in 68 worker deaths, 81 permanent disabilities and 1,099 injuries not resulting in permanent disabilities.
In 2010, a total of 1,426 cases of occupational disease and poisoning were reported to the Occupational Health Division compared with 791 cases reported in the previous year; only about half were successfully investigated. Amongst the diseases reported were noise-induced hearing loss (NIHL), occupational skin diseases and occupational lung diseases.
There is still a general low awareness about occupational diseases, more so when it becomes evident long after worker have left the workplace – hence an under-reporting of occupational diseases occurs. For migrant workers who have returned to country of origin, there is yet no effective mechanism of complaint or access to justice when it comes to occupational diseases.
Malaysia must increase awareness among workers of occupational diseases and be committed to active enforcement to ensure occupational safety and health at the workplace. Hospitals and medical practitioners should also inform workers with diseases or medical conditions that could have been related to their workplace of this fact and of where they can lodge complaints and access justice.
Noting that many employers also provide workers accommodation, there must be a law stipulating the minimum standards of worker housing that would protect the health and safety of workers.
Migrant workers who came into Malaysia with a clean bill of health have been subsequently sent back by reason of diseases like tuberculosis, which could have most likely been contracted by reason of cramped workers’ housing or workplace environment. As such, the list of occupational disease needs to be reviewed to include also diseases that could have been contracted by reason of workers’ workplace or even poor worker housing conditions.
17. Worker rights in law for all workers
Noting that in Malaysia, most workers are ignorant of worker and trade union rights, a fact brought about also by reason that worker and trade union rights are not taught in schools or colleges, it is thus necessary that minimum worker rights are provided for and protected by law.
The laws that provide for minimum worker rights should ensure that these rights are enjoyed by all workers, not just workers earning RM2,000 and below or just certain classes of workers. Domestic workers, like all other workers, should also have the right to enjoy all minimum worker rights provided for by law.
18. Do not sign agreements that will erode or stagnate worker rights
Malaysia signs or will still sign free trade agreements and other treaties, such as the Trans-Pacific Partnership Agreement (TPPA) without being open and transparent of the contents of the said agreements, and without consultation with the people.
Some of these agreements, it is now known, contain clauses that will in effect not just erode but also stagnate worker rights. One such clause is the Investor Protection Clause, which protects investors, allowing them to sue governments if the government does anything in the future which would mean employers having to expend more money, or do things that may affect the businesses profits.
As such, if and when Malaysia in the future decides to improve matters like worker rights, worker safety, public health and environmental protection, requiring businesses to thus expend money which will have an impact on profits, Malaysia risks being sued. This may deter Malaysia from improving the rights and working conditions of workers in Malaysia.
It must be noted that in no way is the above a comprehensive listing of all demands or issues that affect worker and trade union rights. But it is a listing of some of the fundamental issues and calls that must be acted on and must not be allowed to swept aside with the lapse of time, control of the media and other means.
The obligation to recognise and protect worker and trade union rights is not just on the Malaysian government, but also on businesses, corporations, employers, countries from where persons who own or control businesses come from, countries from where the workers come from, consumers of products and services provided, other businesses that have a link with an employer by being within the supply chain or otherwise, and generally everyone in our global community.
It is an unacceptable attitude to say it is all right to compromise on worker rights and standards as available in one’s country or even businesses, for so long as one complies with the Malaysian law.
Ruggie’s ‘Guiding principles on business and human rights: Implementing the United Nations “Protect, Respect and Remedy” framework’, is just but one of the standards and guidelines that should be adopted and followed by governments, businesses and employers.
It is not just sufficient to ratify or sign United Nations (UN) or International LabourOrganisation (ILO) Conventions and Instruments but then not do the what is necessary to put into effect these commitments in Malaysia.
We call on the Malaysian government to immediately act to ensure that all the above demands are given effect to ensure justice for workers and trade unions in Malaysia. The rights and welfare of workers and their families must be a priority of any government, and this also includes creating protection mechanisms like unemployment benefits when workers are out of work.
We call for the immediate reinstatement of all union and worker leaders including Abdul Jamil Lalaludeen and Chen Ka Fatt from Nube, Ismail Nasaruddin from Nufam, Wan Noorulazhar from EIUWR, and Rusaini Mamat from NUTEAW.
We also call on Malaysia to immediately ratify ILO Convention 87, Freedom of Association and Protection of the Right to Organise Convention and other important workers’ conventions. We also call on Malaysia to give full effect to the ILO and UN Conventions that it has ratified including aILO Convention 98, Right to Collective Bargaining.
Senator Syed Shahir bin Syed Mohamud
Charles Hector
Mohd Roszeli bin Majid
Pranom Somwong
For and on behalf of the 47 organisations listed below
Endorsements:
Aliran
Asia Pacific Forum on Women , Law and Development ( APWLD)
Asian Muslim Action Network (Aman) Indonesia
Center for Orang Asli Concerns (COAC)
Clean Clothes Campaign
Club Employees Union Peninsular Malaysia
CWI Malaysia (Committee For A Workers International Malaysia)
Community Action Network (Can)
Damn the Dams
Dignity International
Food Not Bombs-Kuala Lumpur
GoodElectronics Network
Human Rights Ambassador for Salem-News.com , UK
Jaringan Rakyat Tertindas (Jerit)
Kesatuan Eksekutif AIROD (KEA), Malaysia
Kesatuan Eksekutif Canon Opto
Kesatuan Pekerja-Pekerja Polyplastics Asia Pacific (KPPAP)
Knowledge and Rights with Young people through Safer Spaces (KRYSS)
Malaysians Against Death Penalty and Torture (Madpet)
MAP Foundation Thailand
National Union of Flight Attendants Malaysia (Nufam)
National Union of Hotel, Bar and Restaurant Workers (NUHBRW), Malaysia
Network of Action for Migrants in Malaysia (NAMM)
Paper Products Manufacturing Employees’ Union of Malaysia (PPMEU)
Parti Rakyat Malaysia (PRM)
Parti Sosialis Malaysia (PSM)
Pax Romana – ICMICA
Peoples ‘ Green Coalition,
Pergerakan Indonesia
Persatuan Komuniti Prihatin Selangor dan KL (Prihatin)
Persatuan Sahabat Wanita Selangor
Pinay, Quebec, Canada
Pusat Komas
Radanar Ayar Rural Development Association
Sahabat Rakyat Working Committee
School of Acting Justly Loving Tenderly and Walking Humbly (Salt)
Saya Anak Bangsa Malaysia (SABM)
Seksualiti Merdeka
Suara Rakyat Malaysia (Suaram)
Tenaga Nasional Junior Officers Union (TNBJOU)
Tenaganita
Think Centre, Singapore
WH4C (Workers’ Hub For Change)
Workers Assistance Center, Inc. Philippines
Yayasan Lintas Nusa – Batam – Indonesia
Youth Section of The KL & Selangor Chinese Assembly Hall (Pemuda KLSCAH)
Bread For All, UK
Senator Syed Shahir bin Syed Mohamud – Senator in the Malaysian Parliament
Charles Hector – Human rights defender and lawyer;
Mohd Roszeli bin Majid President, TNB Junior Officers Union;
Pranom Somwong – Workers’ Hub For Change (WH4C), Asia Pacific Forum on Women , Law and Development (APWLD) - ALIRAN







