Saturday, November 3, 2018

PRESS RELEASE BY THE MALAYSIAN TRADES UNION CONGRESS (MTUC) PENANG DIVISION - THE 2019 NATIONAL BUDGET

PRESS RELEASE BY THE MALAYSIAN TRADES UNION CONGRESS (MTUC) PENANG DIVISION - THE 2019 NATIONAL BUDGET

MTUC Penang Division wishes to express its appreciation with regards to the Pakatan Harapan government's budget declaration to undertake a review of all labour legislation affecting the country's workers - a committment that was never made by the previous government!

Whilst welcoming the said budget undertaking it is our view that it would be appropriate, for the government, to form a labour law reform commission compromising of labour law practitioners from the workers movement, employers, the bar council and others.

Given the fact that there has never been an attempt to undertake a complete revamp of the existing  labour legislations in the past,  we are convinced that a commission, mandated to overhaul the labour laws of the country, would be in order.

Laws, such as the Industrial Relations Act 1967, the Employment Act 1955, the Trade Union Act 1959, the Social Security Act 1969 etc, needs to be placed under a microsopic review so as to ensure that our government confirms with internationally accepted labour standards.

As an example, as to how out dated we are, is the Termination & Lay Off Regulations 1980 which has never seen a  change over the last 38 years! Under the said regulation workers who are terminated on account of a retrenchment exercise as an example are only entitled to a severance payment of: -

* 10 days wages for each year of service if employed for 12 months or more but less then 2 years

* 15 days wages for each year of service if employed for more then 2 years but less then 5 years and

* 20 days of wages for each year of service if employed for 5 years or more service.

This is only an illustration of the unjust labour protection that is accorded to the working population of the nation. It is , therefore, our demand that a labour law reform commission be instituted with the objective to review the existing labour laws of the country.

We, in the MTUC, are not jumping in joy with the announcement of a minimum wage of RM1,100 effective 1.1.2019! Our demand has always been, and we will never compromise on the issue, that the minimum wage cannot be lesser than RM1500.00! On this issue we must state that we are are disappointed, with the lack of political will by the Pakatan Harapan, on the matter.

The Hon. Minister's announcement that an Appeal Indistrial Court would be constitued is welcomed. As a matter of fact such a proposition was formulated, by industrial realtions practitioners, for a long time. 

In conclusion we wish to record our appreciation to the government's proactive measures to assist the B40 citizens of the country all of whom are from the working class.

K.Veeriah
Secretary
MTUC Penang Division
016 4184520
2.11.2018