Malaysia debates Bill that would ease trade union formation

Too many unions at the workplace will deter international investment, said the Malaysian Employers Federation.
By: | June 23, 2022

The Malaysian Employers Federation (MEF) has voiced its opposition against the proposed amendment to an act that would remove the restrictions currently posed on the formation of trade unions. 

The Trade Unions (Amendment) Bill 2022 — which was drafted in line with the principles of the International Labour Organisation (ILO) Convention 87 on Freedom of Association and Protection of the Right to Organise — is expected to be tabled in Parliament for a second reading in July, reports The Edge

“There is a lot of anxiety among the stakeholders, trade unions and employers alike, over the government’s intention to implement freedom of association at workplaces, particularly in allowing more than one union at workplaces,” said MEF president Dr Syed Hussain Syed Husman.

“If there are too many unions at the workplace, international investors may not be attracted to invest in Malaysia,” he added. 

READ: Malaysia makes amendments to Employment Act

“We need a balanced employer and employee trade union workplace environment. While MEF supports the principles of ILO Convention 87, we must be practical, and also be mindful that deleting such provisions from the Trade Unions Act would not be in the overall interests of the country,” he highlighted.