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Dispute Resolution: Techniques & Agencies
Trade Disputes
Trade Dispute is defined by the industrial Relations Act as:
“any dispute between an employer and his workers which is connected with the employment or non-employment or the terms of employment or the condition of work of any such worker.”
Trade disputes are also known as industrial disputes. A dispute could be caused by:
- an individual who has a grievance, and is represented by his union and who has exhausted the grievance procedure without getting a satisfactory result;
- a difference of opinion between a union and an employer as to the appropriate terms and conditions of service for the workers;
- a difference of opinion as to the interpretation of a collective agreement or Industrial Court award; or
- he non-implementation of an agreement or award.
An individual worker’s complaint is termed a “grievance”. Only when his union is willing to represent the worker can a grievance lead to a dispute.
Settlement of Trade Disputes
There are four methods to resolve a trade dispute:
- direct negotiation;
- 2. conciliation;
- 3. mediation and
- 4. arbitration
Direct Negotiation
The ideal method for settling a dispute is where the two parties involved (the employer and the union) are willing to come together for discussion until a satisfactory compromise is reached.
Conciliation
Conciliation is the process of arriving at a settlement of a trade dispute with the help of a third, neutral party. In trade disputes, conciliation is carried out by officer of the Department of Industrial Relations. Conciliation can be voluntarily requested by either of the disputing parties or the Direct General of Industrial Relations may intervene “in the public interest”, requiring the parties to attend a conciliation meeting. This is known as compulsory conciliation and is common in public utilities and other important industries where the public might be inconvenienced if a settlement is not found quickly.
Mediation
Mediation is a relatively rare method of settling a trade dispute. Mediation is similar to conciliation I that a neutral third party is called in by the parties to a dispute to help them find a settlement, but the mediator is not usually from the government. He is a person who is considered unbiased and impartial and is sufficiently respected and trusted by both parties.
Arbitration
When the disputing employer and union cannot find a solution by themselves or with the help of the Department of Industrial Relations, arbitration may be the only way to settle the dispute. In arbitration, an impartial third party is given the authority to settle the dispute by examining the information given by both sides and making a judgment. In Malaysia, only the Industrial Court has the power to arbitrate labour disputes.
Statues and Regulation
Employment Act 1955 and its Regulations
Industrial Relations Act 1967 and its Regulations
Related Web
http://www.mohr.gov.my
http://www.mtuc.org.my
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