Latest news with #UnionNetworkInternational-MalaysiaLabourCentre
The Star
03-05-2025
- Business
- The Star
Aiming to boost union memberships nationwide
'CLICK TO ENLARGE' PETALING JAYA: Besides initiatives to increase participation of workers in labour unions, workers groups also urged the government to strengthen the enforcement of labour laws to further uphold the rights of workers. Union Network International-Malaysia Labour Centre (UNIMLC) president Datuk Mohamed Shafie BP Mamal said there are still some employers who avoided paying the new minimum wage of RM1,700, which came into force on Feb 1. He said there are still complaints about employers not paying the minimum wage, not issuing offer letters or failing to pay workers' contributions to the Employees Provident Fund (EPF) and Social Security Organisation (PERKESO). 'I urge the government to ensure stricter enforcement of labour laws to uphold the rights of workers,' he said when contacted. Mohamed Shafie also said that with wider participation of workers in labour unions, there will be greater bargaining power in terms of incomes. He pointed out that awareness on unions now is not as significant as in the past. He said this could be due to more government interventions in ensuring the welfare of workers. 'Back then, workers, through unions, would have to fight for their rights, such as decent wages. 'However, nowadays the government has acknowledged that the quality of life has changed and there is a pressing need for better wages and working conditions,' added Mohamed Shafie, whose association has over 450,000 members across 120 labour unions nationwide. Congress of Union of Employees in the Public and Civil Services Malaysia (Cuepacs) secretary- general Abdul Rahman Mohd Nordin agreed that workers' bargaining power will increase in tandem with higher unionisation. 'Unions were the ones who would fight for the rights of workers, including the increase in incomes,' he said. He acknowledged that awareness of the benefits of being a unionised worker is lower now compared to decades ago. For this, Abdul Rahman lauded the government's recent announcement of the Madani Workers' Card initiative or Kad Pekerja Madani, which is expected to benefit a million union members nationwide. He said the initiative will not only protect the welfare of workers but also encourage participation in unions. 'The initiative will ensure that workers feel appreciated and encourage them to actively participate in union activities,' he added. Mohamed Shafie Mohamed Shafie concurred, saying that the initiative will not only help reduce the financial burden of low-income workers but also boost the rate of union memberships. 'This is a good move because while it could help reduce the financial burdens of workers, it could also attract workers to join unions,' he said. Members of all labour unions will be able to enjoy up to 30% discounts on about 100 selected services and products through the Madani Workers' Card. The discounts are expected to benefit about one million union members nationwide. According to the Trade Union Affairs Department, there are slightly over one million unionised workers across public, private and statutory bodies nationwide as of 2023. Meanwhile, the Statistics Department's Labour Force survey showed that in 2023, the total labour force was 16.37 million people. This makes the total number of unionised workers in Malaysia only roughly 6% of the total labour force. Khazanah Research Institute in 2022 showed that a higher density of unionisation would translate to better bargaining power for workers. The think-tank had drawn a comparison between Malaysia and Belgium, where half of its labour force is unionised. The high rate of unionisation of Belgian workers showed that they had 96% better bargaining power compared to Malaysia's labour force of just 0.4%. Mohd Shafie urged employers to treat labour unions as partners instead of 'enemies'. 'If this mentality is ingrained among bosses, I believe that we, as a nation, can achieve greater heights,' he said.
The Star
30-04-2025
- Business
- The Star
Older generations shape the future
PETALING JAYA: A multigenerational workforce offers diverse skills and perspectives and is crucial for the country's continued progress, say industry experts. They urged the government and employers to offer better support and benefits for the growing ranks of senior workers to capitalise on their experience. Malaysian Employers Federation president Datuk Dr Syed Hussain Syed Husman urged employers to adopt strategies to retain experienced talent past retirement age. 'Employers could also implement flexible work arrangements, remote and hybrid work to accommodate older employees while maintaining a multigenerational workforce,' he said. Syed Hussain stressed the importance of continuous training in digital tools, AI, and automation to keep older workers relevant, as well as combating age bias and providing ergonomic workplaces. He said failure to adapt to an ageing workforce could lead to problems for the country such as a decline in the overall labour force participation rate. 'This is particularly true when older workers retire without a proportional replacement by younger workers,' he said. Syed Hussain said manufacturing and construction were among industries most vulnerable to the effects of an ageing workforce. CLICK TO ENLARGE 'These sectors rely heavily on physically demanding labour, where ageing workers face limitations. We must adopt automation and robotics to ease physical strain and attract younger workers,' he added. He said the healthcare industry also faces challenges. 'The workforce itself is ageing while demand for services surge. 'Structured mentorship programmes and incentives for delayed retirement are needed,' he said, adding that the agriculture sector could also be affected due to its high number of older workers. Union Network International-Malaysia Labour Centre president Datuk Mohamed Shafie BP Mammal said another option to consider was extending the retirement to 62 from the current 60. It was reported in The Star previously that Malaysia's retirement age is below the average in Organisation for Economic Cooperation and Development countries, recorded in 2022 at 63.6 years for women and 64.4 years for men. Last year, Retirement Fund Inc chief executive officer Datuk Nik Amlizan Mohamed was reported to have suggested increasing the retirement age. Minister in the Prime Minister's Department Datuk Seri Dr Zaliha Mustafa, in a parliamentary written reply in November last year, said there were no plans to raise the retirement age for civil servants, adding that the government was ready to do a detailed study on the matter if there was a need. Mohammed Shafie said workers who retire at 60 have a wealth of experience and can continue contributing to industries for many more years. 'Given the worker shortage, we should not overly rely on foreign workers but instead focus on utilising our workforce,' he said. He said many other Asian countries are also increasing their retirement age as they come to appreciate their ageing workforce. 'The experience of older workers is an asset to the country, enabling them to train the younger generation,' he said. Asked if the government was doing enough to meet the needs of the older workforce, Mohamed Shafie urged employers to change their mindset. 'Strategies need to be in place to appreciate this segment of the workforce, with systems addressing their age-related needs.' Mohammed Shafie said companies with an older workforce should offer better packages. 'Older employees deserve better perks; for example, EPF contributions should be increased even for those on contracts,' he said. 'Unfortunately, many companies are not friendly towards older workers, although they realise the need for such workers. 'This situation needs to improve.' As Malaysia moves into a new environment, Mohamed Shafie urged the government to plan for the future of the workforce by having a special task force committee. 'The special task force committee, involving unions, employers and the government, should be established to tackle these issues in the coming years for the short term as well as the longer term,' he said. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the country needs to boost its population by focusing on strengthening the family institution. This, he said, could help address the challenges related to an ageing population. 'We need to promote the narrative that forming families through marriage is an ideal path to better lives and nation-building,' he said.
