The Ministry of Human Resources has announced that the Trade Union (Amendment) Bill 2023 was passed on 28 November 2023 in Parliament.
This Bill was enacted to meet the Malaysian Government’s obligations towards the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which requires each member country to improve labor laws including the Trade Union Act 1959 in line with international labor standards as outlined under the Declaration of the International Labor Organization (ILO) 1998.
It is also an effort from the government to increase membership in trade unions and strengthen the systems that support the labour market and increase workers’ compensation. The Trade Union (Amendment) Bill 2023 was tabled and approved in the Dewan Rakyat on 10 October 2023. Proposed amendments involve 36 clauses which include 30 clauses amendment, 5 new clauses, and 1 repealed clause. It aims to amend Act 262 with the main objective of removing restrictions on the formation of trade unions based on a particular establishment or similarity in trade, occupation, or industry, and allowing the diversity of trade unions (multiplicity of trade unions) any establishment, trade, occupation or industry.
The Ministry of Human Resources said it aims to improve the country’s image at the international level, especially in freedom associates, and further encourage the establishment and increase membership of trade unions in this country.
