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the parties named or authorized representative must reduce their signature. the names of the parties to the agreement must be clear. Moreover. the agreement must have the form of an agreement between employers and trade unions and an agreement between trade unions and employers. 1967 as follow. the collective agreement is in fact the result of the collective bargaining process between employers and labor unions representing the workers. it also means a contract signed between workers and managers of an organization or business where the contents of the agreement have been prepared after consultation between the two sides of the managers and employees. in this collective agreement must meet the conditions required importances which are required by statute under section 14 of the IRA. ³an agreement in writing concluded between an employer or a trade union of employers on the one hand and a trade union of workmen on the other relating to the terms and conditions of employment and work of workmen or concerning relations between such parties´. Other than that. The conditions are all collective agreements must be in writing.     Collective agreement is an agreement between employers and employees which regulates the terms and conditions of employees in their workplace. their duties and the duties of the employer. The agreement is also related to working conditions in the workplace. In addition. this agreement should specify the period in which agreements must be accepted and the term is not less than three years. According to section 2 of the Industrial Relations Act. should not contain the c c c . Based on this definition .

or conflict with the law applicable to employees covered by the agreement. it also should prescribe how to deal with matters relating to the interpretation and application and referral of each of these questions to the Industrial Court and the last one it should be prescribed procedure to resolve all disputes between the parties. c c c .working conditions are less favorable than.

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 $%   $   $""$! #   %#!&%%""$ ‘'() It must be specify the period it shall continue the agreement tha t valid or how long it can be use. The agreement also will become an award of the Indus trial Court and it also will bind both parties. When the parties are not complying with the agreement. The duration cannot be less than three years. Meaning to say that. it must be specify how long the duration of the agreement of the organization clearly. Meaning to say that. In the other word for the effective duration. the Court will interpret or take actions against the parties. For example is the agreement shall be known as Malayan Banking Berhad and Association of Maybank Class One Officers Agreement from 1 st March 2008 to 28 th February 2011. Means that. the collective agreement needs to be renewing once in three years. the agreement must be for a minimum three years. the Court may require the party to amend the agreement.          !"!   # Meaning to say that in the collective agreement it must stated the name both parties that involves or bound in the agreement. In the other word the both parties which are the trade union of the organization and the organization itself.    All trade union need to comply with the requirements or contents of the collective agreement. if the parties are not complying with the requirements needed the Court may refuse to approve the establishment of the parties. If the trade union does not comply with it. Within the period the parties also can adjust the terms with by c c c .

Thus the duration of the agreement is from 1 st March 2008 to 28 th February 2011. So. This is because Industrial Court needs to know what they want to do on their agreement. they know the procedure that they need to follow and the re lated people also know what they need to do in order to settle the dispute. they can or have the right to add some terms or conditions that they think needed in their agreement. they need to have the negotiation between the company itself and the Trade Union of the company. For example is the Malayan Banking Berhad make collectiv e agreement between Association of Maybank Class One Officers.  %   $   $%  " * % !  Meaning to say that. c c c . i t must be specify the procedure that to be used in order to settle any disputes occur over interpretation of the agreement. Meaning to say that. In this case during the time of concluding the collective agreement the union and the employer both may have been agreed on the terms in the agreement. in the agreement it need to be state it like this agreement shall be deemed to have come into effect on 1st March 2008c and shall continue to remain in force until 28th February 2011 c and thereafter until superseded by a new Collective Agreement. In the other word if there is any dispute occur over the interpretation. In the other word.the mutual consent and it also must be brought to the Industrial Court. Any dispute relating to the interpretation of the agreement need to be settled by negotiation.

Thus at the same time they can maintain their relation between them and to create harmonious relation between them. This is to ensure that both parties company and trade union of the company satisfied with the decision making la ter.owever. then they had the peaceful negotiation between them why this happen and to settle it. Thus. unless there is a suitable c c c . The party bound by the agreement may apply to the Court for a decision on the question. Where the decision making that will be make is equal for others and it also can avoid dispute among them. when it is time to implement it. The bank had breach the agreement where it shall require having early discussion with the union. For example is the union leader of Sabah Banking employee¶s Union in the banking industry in Sabah is disappointed and protests the Alliance Bank where the three branches will be closed. it may have that both two p arties may disagree with it or does against the agreement. It also needs to be referred to the Industrial Court for a decision. According to the Industrial Relation Act 1976(Act 177) section 14 (2) that the agreement should be prescribed with the procedure for the adjustment of any question that arise regarding with the implementation or the interpretation of the agreement and the reference of the Industrial Court. The matters pertaining to the interpretation of the collective agreement is provided in the Industrial Relations Act. In this Act said that if any question arises as to the interpretation of any collective agreement is taken by the Industrial Court.

mechanism that is being set up by both parties in the in the agreement to settle the dispute. Trade disputes are also known as industrial disputes. Next factor is also the difference of opinion as interpretati on of collective agreement or industrial court award and lastly the non .implementation of the agreement.  + $  $""$! #  $%  " * %  !  " According to Article 5 any dispute relating to th e implementation of this agreement must be settled between the company and the union and be referred to the industrial court for definite decision. ³Trade dispute means as defined by the industrial relations act is ³any disputes between an employer and his workers which is connected with the employment or non . The agreement also need to be recognizing the value and importance of full discussion in clearing up the misunderstanding and also preserve with harmonious relations as every responsible effort shall be made by both the company and the union as to dispose any grievance or complaints from employee or the company at the lowest possible level. c c c . Firstly an individual who has grievance and it is represented by his union and who has exhausted the grievance procedure without getting satisfactory result. Next factor is because difference opinion between employer and union worker as to the appropriate terms and conditions of service for the workers.employment or the terms of employment or the condition of work for any such worker´. It can be caused by four factors. In also must be followed with the existences of Grievances Procedure as shall not prevent either party to this Agreement initiating informal exchange of views between the union and the company regarding on the matters of the mutual interest.

And the last step. the employee concerned may raise the grievance with his immediate supervisor or alternatively if he so desire. The first procedure is within the 5 working days of grievance arise. the grievance may be discussed between a director of the company and his credited officer and union¶s secretary and or with his appointed deputy within 10 days of period. vary. But again if the matter still remains u nsettled after this meeting or any further meeting between the company and the union itself. +. On the receipt of the union¶s letter the company will without delay offer arrangements for a meeting between the branch manager and accredited official of the company and the union which will be attended by the union branch secretary and also his appointed deputy.  $    $""$! #  $&  $%   %$ %    # According to the article 4 modification and termination stated that the currency of this agreement either the company and the union. the union can make formal presentation to the company in writing. Meeting should be held within 7 days of receipt of union le tter. save by the mutua l agreement shall seek to add. if the dispute end up still remain unsolved after the reconcil iation proceedings by the ministry of human resource both parties may refer the dispute to the industrial court for settlement under the provision of the industrial relations act 1967 or such in other law as may then be in force. Next step. But if the matters remain is unsettled. if the matter is still not settled within the further 7 working days. he shall approach the officer to whom his immediate supervisor is responsible and be accompanied by at least the two members of the office committee. modify any of its terms and condition in any way or even to seek or impose any c c c . then only it will be referred to the ministry of human resource for conciliation.

the assignment or allocation by an employer of duties or specific tasks to a workmen. transfer. the dismissal and reinstatement of a workman by an employer and lastly the employment by an employer of any person. According to the Section 13(3) Industrial Relations Act ³No trade union of workmen shall may include in its proposal for collective agreement a proposal in relation to any following matter which is the promotion by an employer of any workmen. this agreement will be terminated either by the party serving on the 3 months of notice in writing. owever. There is also should any legislation supersede. the termination by an employer of the services of a workman. or add to any of the provisions of this agreement as the provision for this agreements shall be amend accordingly if it is so required by the said legislation. recruitment. When union leaders negotiating a collective agreement. c c c . they not only hope to improve the terms and condit ion of employment of the workers concerned but also try to influence managerial decision making which affect the welfare and the careers of their members. repeal.new terms. These prerogatives include promotion. condition and also the benefits. and frequently are found in the collective agreement. general issues relating to procedures on these matters can be. termination for redundancy and assignment of work. dis missal. the transfer by an employer of a workman. but no such notice sh ould be given before the 3 months prior to the expiry date of the agreement. Whereby. +   $     $%%  #" #! $ & $"%%   #  It means that any area of some concern to management and union alike is the decision over what can and cannot be included in the collective agreement. vary.

For example. $!% &*  % # . % ""*  "%  $ *   $%   "* -$"!&"$! !*- "-  "$&"  -. According to IRA Section 14(3) that the provisions made in the collective agreement must be part of better that what is available in other written laws. A company that is given pioneer statues under the Investment Incentives Act 1968 also enjoy certain privileges (IRA S ection 15). Even th ough the pioneer status is given 5 years. otherwi se whatever is being provided for in the collective agreement is void and be replaced by the provisions available in the written laws which is been signed by the both parties. For example the collective agreement made between an employer and a trade union of workmen in pioneer industry should not certain provisions that are more favorable to the workmen with regards to terms and the conditions of the service.  c c c . terms that are less favourable than the provision of Wages Council Acts 1947 and employment act 1955 cannot be included in the collective agreement. but it could be extended by notifying in the gazette.

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or a trade union of employers. unless otherwise expressly stated in the act. the term of employer can be define under section 2 of the IRA as any person or body of persons. and a trade union of workers relating to the terms and condition of employment or the relation between the two parties. Si xth Edition. c c c . whether corporate or unincorporated . assignees or transferees. (b) All workmen who are employed or subsequently employed in the undertaking or part of the undertaking to which the agreement relates.   /0 1 As we know according to Maimunah Aminuddin in the book of Malaysian Industrial Relations and Employment Law. who employs a workman under a contract of employment and includes the government and any statutory authority. Collect ive agreements can specify an employer or an industry sector. all member of the trade union to whom the agreement relates and their successors. According to section 17 (1) of IRA had state that the effect of collective agreement which is a collective agreement which has been taken cognizance of by court shall be deemed to be an award and shall be binding on: (a) The parties to the agreement including in any case where a party is a trade union of employers. While. the collective agreement can defined as an agreement in writing between an employer.

While. Employers see gain in employee productivity as a result of collective agreement. increased staff retention and lower absenteeism. there is the condition where effect toward employer that they need to know when involved in collecti ve agreement which is an employer cannot c c c . collective agreements provide unique advantages to employer. productivity for the employer lead to increases in profits and better competitiveness in the market.(2) as from such date and for such period as may be specified in the collective agreement. the effect of collective agreement that bringing goodness to employer is them can manage a better human resource budgets by establishing scheduled pay increases. Productivity gains result from greater staff morale. Employer also can plan reallocation of staff through advancement and retirement schedules. In term of industry sector. The parity on wages used in the setting of wages to establish similar status to different work groups. New hire transition time goes down as a result of uniform employment terms. Other than that¶s. The high turnover can be harmful to company¶s productivity if skilled workers are often leaving and the worker population contains a high percentage of news workers. Furthermore. it shall be impli ed term of the contract between the workmen and employers bound by the agreement that the rates of wages to be paid and the conditions of employment to be observed under the contract shall be in accordance with the agreement unless varied by a subsequent a greement or a decision of the Court. Such collective agreements reduce competition between employers themselves by reducing turnover and producing parity on wages.

employer be determined to do not violet the agreement between employer and employee in c ollective agreement. As we know. owever. Strike happen when two sides cannot agree often about issue like wages. vacation time. health and safety. and are in effect for a set number of years before they are either renewed or renegotiated. The union monitors the workplace to ensure that the employer is not violating the collective agreement. there are a number of legal and illegal measures a union can utilize if issues with an employer arise.  c c c . A collective agreement also provides some benefit to the employer in term of the union will not undertake strike action while the agreement is in effect.change working conditions without renegotiating the contract when it expires. Usually the collective agreement included the issue of section on wages. unless a case matches the condition set down in the agreement. the effect of collective agreement toward employer is the ability of employer to fire workers is limited. hours of work and many other issues. Some of employer do not follo w the agreement that had negotiated with employee in collective agreement from that company can not fire the employee without the proper reason. So. the establishments of collective agreement is to give the rights of employee in a workplace. Last but not least.

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employment contracts between workers and employers are bound by the award which the wages payable to employees of employers should be parallel with the award. one way is by way of conciliation of a dispute resolution method to reach agreement and resolve the dispute either through the Department of Industrial Relations in the Department of uman Resources. a separate industrial relations system has been designed for the public sector. Department of General Services.   0 12/  The relationship between the industry of entrepreneurs. may be resolved by the Minister of uma n Resources himself. and the Court of Civil Service. Another wa y is through arbitration is statutorily and through industrial action by the parties involved in strikes and lockouts. In Malaysia. If no problems arise between employers. for example. Finally. In addition. Which this system is made up of the Commission Salaries and Salary Committee. Furthermore. employees and unions to resolve differences and disputes between them that they were unable to resolve yourself to say the machine complaints or collective bargaining. those over the issue of union recognition. the National Joint Council and the Department of Joint Council. with the help of the Director General for Industrial Relations. this means that unions and employers can conclude t he agreement. As stated in the Industrial Relations Law 1967 clearly led to one of the best solutions among employers. workers and union workers. worker s and their unions are very important today as it was as a step for Malaysia to achieve the status of the new industrial countries (NIC). Salaries and Wages c c c . certain differences or disputes. unless they vary the following awards or agreement between the parties.

In addition. there are also constitutional and board fees are functioning and authority to appoint. collective agreement to provide benefits to employees to resolve their problems. In addition. transfer and discipline of members of the public service for which authority is conferred by the Constitution. promotion. In addition. place. having children and making other life decisions. holidays and so forth. In addition. especially in dealing with matters relating to their work. Additionally. working conditions. buy home s. On the other hand. For example. confirm. some 2100 non -executive staff of c c c . this agreement can give opportunity to employees in enforcing their rights and demand justice on the issue of their work. especially problems related to wages. and disciplinary action. employment and the recommendations in whole or part of the Public Sector. the collective agreement also provides benefits to workers. They can also gain for better wages and scheduled pay increases and paid sick leave. the collective agreement allows representation of workers' compensation appeal in the interests of workers and other workers. Thus. employee can gain for better wages from their employer by collective agreement. In term of salary.Committee of the Commission appointed by the Federal Government to review salaries and other conditions . they can ask for job longevity where it is important to them life outside of work including to take out loans. The effect s of this collective agreement are also to promote the employee to the employer. They also can get more incentive or benefits by collective agreement with their employer. employees in the normal working hours and provide protection against unfair dismissal. layoffs. employees can also get flexible work arra ngements where there was none before.

employees can get protection against unfair dismissal by doing collective agreement with their employer. On top of that. The purpose of this paper is to establish a profile of employees who have been dismissed and who seek reinstatement according to the procedures laid out in Section 20 of the Industrial Relations Act. It is because workers have rights which are protected by statute. opportunities for salary increases can also lead to increased productivity of workers in a company and should contribute in line with the salaries received by them. In addition. employee have right to argue their employer relating issue of unfair dismissal. On the other hands. Employees in Malaysia cannot have their services terminated at will by their employer. According to Aminar Datuk Rashid Salleh in his speech. According to Industrial Relations act of 1967 effectively prevents an employer from dismissing an employee without good cause.Perodua Sales Sdn Bhd (PSSB) will enjoy new benefits following the signing of the 2011-2013 Collective Agreement (CA) between PSBBB and its employees union recently. eight members of the National Union of Drink Manufacturing Industry Workers (NUDMIW) have been dismissed by F&N Coca -Cola (Malaysia) Sdn Bhd (FNCC). One o f the more important of these rights is that of security of employment. For instant. They also have right to protect their self from unfair dismissal by their employer. R egarding this issue. the union¶s members claim the dismissal is unfair c c c . The new CA also provides for the majority of the 2100 employees to enjoy salary increments and adjustments rang ing from 8% to 10%. he said that the collective agreement between management and union have reached in four discussion sessions within two months only.

Of the 14 suspended union members. a practice that had been enj oyed by top union officials for 20 years. the workers worked 8 hour shifts. In response to this change. This led the deputy general secretary of the un ion to lodge a police report against the company at the Seksyen 15 police station in Shah Alam on Jan 14 2009. The union said that overtime is non mandatory under the collective labour agreement. c c c . This can be concluded that. 8 of them were being fired. only 8 hour shifts are compulsory. workers refused to work overtime from Jan 12 to 21. Instead of working a 12 hour shift. it said that management had disallowed paid leave for union business. The dismissal was the culmination of a series of disputes between management and the workers. According to the union. The union however. which started in July last year. The union has called the company¶s actions as blatant victimisation and an unfair labour practise and have reported it to the Industrial Relation Department in Shah Alam. a busy period right before the Chinese New Year. claims that FNCC used force and threatened the 36 workers involved in the incident.and aimed at intimidating wo rkers. employees have right against the employers regarding issue of this unfair dismissal.

Through this agreement employees also can perform picketing that was carried out at or near the place where employee works and where a trade disputes exists. Under the Industrial Relations Act 1967 . Thus the Industrial Court cannot ta ke action on them. Every one of the members of the union have the right to join it. (   / As a conclusion. It will be illegal picketing and will lead to the peace. Without collective agreement also employees may refers in it what are their rights in the organization. This agreement is important in order to protect employee¶s right benefit. the Industrial Court may refuse the collective agreement. Through this they can voice out their dissati sfaction towards the organization.  c c c . there are man y terms and condition that the trade union need to fulfil to ensure that their collective agreement is approve by Industrial Court. the rights of employers and workmen of employees and their trade unions are protected through the collective agreement. If there is absence of any of the stated essential terms. So that. the employers cannot take advantage towards their employees on all matters relating to the employees rights and at the sam e time employees can protect their rights. The col lective agreement is very important to the trade union and it also will give effects on the employers and employees in the organization.