PICKET RENESAS ::: COMPANY STONEWALLING COLLECTIVE AGREEMENT NEGOTIATIONS

4-October 2019

COMPANY STONEWALLING COLLECTIVE AGREEMENT NEGOTIATIONS

1. Electronic Industry Employees’ Union Western Region, Peninsular Malaysia,
(hereinafter called the “Union”), was registered on 1-December 2009. The first
company the union organised was NEC Semiconductors (Malaysia) Sdn Bhd, which
later came to be known as Renesas Semiconductor KL Sdn. Bhd. (hereinafter called
the “Company”), located at KM 15, Jalan Banting, Telok Panglima Garang, Selangor,
where the union President Wan Noorulazhar bin Mohd Hanafiah was working.
2. Immediately after its first Triennial General Meeting on 8-Jan 2010, the Union
submitted its claim of recognition on 18-Jan 2010 when more than 70% (1,300
employees) enrolled as members of the Union, hoping to enjoy the benefits of a
collective agreement.
3. The Company embarked on a series of actions to avoid union representation of its
employees, as follows:
a. Dodging the receipt of the Union’s letter on its claim for recognition, when finally on
the fourth attempt on 8-Sep 2011, the Company acknowledged receipt of the Union’s
letter delivered through a private courier. The process took nine months.
b. The President of the union Wan Noorulazhar bin Mohd Hanafiah, was dismissed by
Renesas on 26-Aug 2011 on an alleged misconduct that his actions were ‘contrary
to explicit company policies’. He was alleged to have made statements about treatment of workers in a closed Facebook Group, whose members were fellow workers. The wrongful dismissal case went before the Industrial Court and the Company settled by paying compensation in lieu of reinstatement in 2017.
c. The Company challenged the validity of the registration of the Union itself, and the qualification of the Union’s General Secretary, yours truly, the undersigned. When the Minister rejected this objection the Company proceeded to filed for a judicial review of the Minister’s decision to the High Court and on 28-June 2012, the High Court dismissed the Company’s application. The Company then appealed to the Court of Appeal who also unanimously dismissed the appeal on 5-Dec 2012.
d. Only after the Court of Appeal’s decision did the Director General of Industrial
Relations (DGIR) directed the Company to submit the names of employees in the
Company, who are under the scope of the Union, to enable to undertake a secret ballot as provided for under the Industrial Relations Act. Inspite of repeated reminders the Company refused to comply.

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e. The DGIR finally acted by filing a case in the Magistrates Court in Putrajaya to prosecute the Company for not complying with the requirement of providing the list of employees and thereby obstructing its public officers from performing their duty.
On the day of hearing the Company provided the list and the DGIR withdrew the
case.
f. The secret ballot was finally conducted and the Union obtained the majority, in a high security and tense atmosphere of harassment and intimidation.
g. The Minister ordered recognition to be accorded to the Union. The Company applied to the High Court for a Judicial Review of the Minister's decision to accord recognition. The High Court dismissed the Company's application on 27-Aug 2015.
The Company filed an Appeal to the Court of Appeal which was also dismissed.
h. At the same period the Union’s case on Union Busting activities by the Company
was referred to the Industrial Court which found the Company guilty on 8-Mar
2016. The Company applied to the High Court for a Judicial Review which dismissed
their case. The Company filed an Appeal to the Court of Appeal which was also
dismissed on 24-Jan 2017.

4. Collective Agreement Negotiations:
The Union’s collective agreement proposal consisting of 58 articles, was forwarded
to the Company on 21-Jun 2018.

5. After 14 months of negotiations we discussed about 25 articles but the parties concluded agreement to only 15 articles. The process is moving at a snail’s pace because the Company allocates only 2 to 3 hours for negotiations in a month.
Union’s repeated request for weekly meeting were rejected. At the current rate the collective agreement perhaps shall be concluded in another year or maybe two!
Also the Company rejected some important articles, listed below, rendering the
negotiation process meaningless.
a Effective date and Duration of Agreement.
b. Language and Copies of the Agreement.
c. Check-Off.

6. As a responsible corporate citizen, RENESAS Semiconductor KL Sdn. Bhd. places the community services as one of its top priorities but it is not reflected in the way the collective agreement negotiation is proceeding.

7. The Company with the history of inherent anti-union behaviour, continues to
stonewall the collective agreement negotiation.

8. Hence the union members picket today.

Bruno Periera
General Secretary
Electronic Industry Employees Union Western Region, Peninsular Malaysia

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