US State Department Report on Human Rights in Malaysia - 8 of 8 last

["M.G.G. Pillai" <pillai@mgg.pc.my>]

In September Malaysian Trade Union Congress (MTUC) leader Zainal Rampak said
that the MTUC was fed up with delays in registering new unions, and that new
unions often faced delays of several years in registering. Zainal called on
the Government to amend the Industrial Relations Act to allow automatic
union recognition.

In April the MTUC called on the Government to ratify ILO Convention 87,
which provides for the freedom to join a union. At year's end, the
Government had not ratified the Convention.

Government policy discourages the formation of national unions in the
electronics sector; the Government believes that enterprise-level unions are
more appropriate for this sector. In 1997 the MTUC dropped its longstanding
objection to this practice, stating that it would be better for the workers
to have the in-house unions "than none at all." However, in February MTUC
secretary general G. Rajasekaran said that a national union for electronics
workers was still on the MTUC agenda.

Even in-house unions sometimes face difficulties. For example, an
electronics company was picketed by workers several times during the year.
Workers called on the company to end litigation and conclude a collective
bargaining agreement that has been pending for 10 years. Workers claimed
that the company had refused to meet union officials, even though the
Department of Trade Unions recognized the union.

Unions maintain independence both from the Government and from political
parties, but individual union members may belong to political parties.
Although union officers by law may not hold principal offices in political
parties, individual trade union leaders have served in Parliament. Trade
unions are free to associate with national labor congresses, which exercise
many of the responsibilities of national labor unions, although they cannot
bargain for local unions. In l997 longtime labor leader Zainal Rampak joined
the ruling party, and in 1998 was appointed to the Senate. Some union
leaders are concerned that the MTUC, under Zainal's leadership, is losing
its independence.

Although strikes are legal, the right to strike is restricted severely. The
law contains a list of "essential services" in which unions must give
advance notice of any industrial action. The list includes sectors not
normally deemed essential under ILO definitions.

The Industrial Relations Act of 1967 requires the parties to notify the
Ministry of Human Resources that a dispute exists before any industrial
action (strike or lockout) may be taken. The Ministry's Industrial Relations
Department then may become involved actively in conciliation efforts. If
conciliation fails to achieve settlement, the Minister has the power to
refer the dispute to the Industrial Court. Strikes or lockouts are
prohibited while the dispute is before the Industrial Court. The Industrial
Relations Act prohibits employers from taking retribution against a worker
for participating in the lawful activities of a trade union. Where a strike
is legal, these provisions would prohibit employer retribution against
strikers and leaders. Although some trade unions question their
effectiveness, it is not possible to assess fully whether these provisions
are being enforced effectively, given the limited number of cases of alleged
retribution.

Strikes are extremely rare. In January the Deputy Human Resources Minister
said that the (1997 and 1998) economic downturn was "not affecting
industrial harmony" and noted that the country still seldom had strikes.

In April 500 taxi drivers in the state of Penang held an informal strike to
protest stricter government enforcement of a rule requiring meters. In May a
group of truck drivers blocked the country's main north-south highway to
protest road rules.

There are two national labor organizations. The MTUC is a federation of main
ly private sector unions. CUEPACS is a federation of civil servant and
teacher unions. Public servants have the right to organize at the level of
ministries and departments. There are three national joint councils
representing management and professional civil servants, technical
employees, and nontechnical workers. In May various trade unions
representing port workers announced plans to form a federation potentially
including 12,000 workers. There were no reports of further developments.

In 1998 the Government announced plans to include foreign workers in the
national workers compensation scheme. Exclusion of foreign workers from this
scheme had been a longstanding concern of the ILO. In August Human Resources
Minister Lim Ah Lek said that the Cabinet would soon receive the final
report on extending the compensation scheme to foreign workers. There were
no reports of further developments.

Enterprise unions can associate with international labor bodies and do so.

b. The Right to Organize and Bargain Collectively

Workers have the legal right to organize and bargain collectively, and
collective bargaining is widespread in those sectors where labor is
organized. The law prohibits antiunion discrimination by employers against
union members and organizers. Charges of discrimination may be filed with
the Ministry of Human Resources or the Industrial Court. Critics say that
the Industrial Court is slow in adjudicating worker complaints when
conciliation efforts by the Ministry of Human Resources fail. However, other
critics point out that the Industrial Court almost always sides with the
workers in disputes. In August the press reported an MTUC survey that
indicated that employers often ignore with impunity Industrial Court
judgments.

Companies in free trade zones (FTZ's) must observe labor standards identical
to those in the rest of the country. Many workers in FTZ companies are
organized, especially in the textile and electrical products sectors. The
ILO continues to object to legal restrictions on collective bargaining in
"pioneer industries." c. Prohibition of Forced or Compulsory Labor

The Constitution prohibits forced or compulsory labor, and the Government
generally enforces this prohibition; however, trafficking in women for the
purpose of forced prostitution is a problem (see Section 6.f.). In theory
certain laws allow the use of imprisonment with compulsory labor as a
punishment for persons who express views opposed to the established order or
who participate in strikes. The Constitutional prohibition renders these
laws without effect.

The Constitutional prohibition also applies to forced and bonded labor by
children; however, trafficking in girls for the purpose of forced
prostitution is a problem. Bonded labor is rare, and there were no cases
reported during the year.

d. Status of Child Labor Practices and Minimum Age for Employment

The Children and Young Persons (Employment) Act of 1966 prohibits the
employment of children younger than the age of 14. The act permits some
exceptions, such as light work in a family enterprise, work in public
entertainment, work performed for the Government in a school or in training
institutions, or work as an approved apprentice. In no case may children
work more than 6 hours per day, more than 6 days per week, or at night.
Child labor occurs in certain sectors of the country. A 1993 joint report by
the International Confederation of Free Trade Unions and the Asian and
Pacific Regional Organization put the child work force at 75,000. However,
government officials maintain that this figure is outdated, since it was
based on a nationwide survey of child labor undertaken in 1980, which
estimated that more than 73,400 children between the ages of 10 and 14 were
employed full time. There is no reliable recent estimate of the number of
child workers. Most child laborers work in the urban informal sector in food
businesses, night markets, and small-scale industries, as well as on rubber
and palm oil plantations. Government officials do not deny the existence of
child labor but maintain that foreign workers largely have replaced child
labor and that the Government vigorously enforces child labor provisions.
Forced and bonded labor by children is prohibited and generally is rare;
however, occasional trafficking in girls for the purpose of forced
prostitution is a problem (see Section 6.c.and 6.f.).

e. Acceptable conditions of work

There is no national minimum wage, but the Wage Councils Act provides for a
minimum wage in those sectors or regions of the country where a need exists.
Under the law, workers in an industry who believe that they need the
protection of a minimum wage may request that a wage council be established.
Few workers are now covered by minimum wages set by wage councils and the
Government prefers to let market forces determine wage rates. Minimum wages
set by wage councils generally do not provide for a decent standard of
living for a worker and family. However, prevailing wages, even in the
sectors covered by wage councils, are higher than the minimum wages set by
the wage councils and often do provide a decent living. In May Human
Resources Minister Datuk LIM Ah Lek said that the Government was not against
a minimum wage, but that it was not ready to set the amount at $316
(1,200ringgit) per month (as proposed by some unions). MTUC President Zainal
Rampak subsequently again called on the Government to introduce a minimum
wage.

Under the Employment Act of 1955, working hours may not exceed 8 hours per
day or 48 hours per workweek of 6 days. Each workweek must include one
24-hour rest period. The act also sets overtime rates and mandates public
holidays, annual leave, sick leave, and maternity allowances. The Labor
Department of the Ministry of Human Resources enforces these standards, but
a shortage of inspectors precludes strict enforcement.

Plantation workers generally receive either piecework or daily wages. Many
NGO's and union officials proposed a monthly wage for plantation workers.
The Government stated that it would study the idea, but at year's end, had
taken no action.

Legal and illegal foreign workers from Indonesia, the Philippines, Burma,
Thailand, India, Bangladesh, and other countries constitute about 20 percent
of the workforce. These workers, who occupy a wide range of menial jobs in
the agricultural, industrial, and service sectors, are not allowed to join
trade unions. The MTUC stated in December that foreign workers should be
unionized. In February the Government reiterated that it did not "encourage"
foreign workers to join unions and that labor laws were adequate to protect
foreign workers' interests.

Significant numbers of contract workers, including numerous illegal
immigrants, work on plantations and in other sectors. Working conditions on
plantations for these laborers compare poorly with those of direct-hire
plantation workers, many of whom belong to the national union of plantation
workers. Moreover, immigrant workers in the construction and other sectors,
particularly if they are illegal aliens, generally do not have access to the
system of labor adjudication. Government investigations into this problem
have resulted in a number of steps to eliminate the abuse of contract labor.
For example, besides expanding programs to regularize the status of
immigrant workers, the Government investigates complaints of abuses,
endeavors to inform workers of their rights, encourages workers to come
forward with their complaints, and warns employers to end abuses. Like other
employers, labor contractors may be prosecuted for violating the labor laws.

In 1993 Parliament adopted an Occupational Safety and Health Act (OSHA),
which covers all sectors of the economy, except the maritime sector and the
military. The act established a national Occupational Safety and Health
Council, composed of workers, employers, and government representatives, to
set policy and coordinate occupational safety and health measures. It
requires employers to identify risks and take precautions, including
providing safety training to workers, and compels companies that have more
than 40 workers to establish joint management-employee safety committees.
The act requires workers to use safety equipment and to cooperate with
employers to create a safe, healthy workplace. Trade unions maintain that
relatively few committees have been established and, even in cases where
they exist, that they meet infrequently and generally are ineffective.

Employers or employees that violate the OSHA are subject to substantial
fines or imprisonment for up to 5 years. There are no specific statutory or
regulatory provisions that provide a right for workers to remove themselves
from dangerous workplace conditions without arbitrary dismissal.

f. Trafficking in Persons

The Constitution prohibits slavery; however, this provision has not been
invoked in cases of human trafficking. The Protection of Women and Girls Act
explicitly prohibits trafficking and other forms of exploitation of women
and girls and forms the legal basis for prosecuting trafficking cases.

Malaysia is a source, transit, and destination country for trafficking in
women and girls for sexual exploitation. In 1998 the Deputy Home Minister
stated that 2,250 foreign prostitutes had been arrested in Malaysia. Police
believe that the overwhelming number of prostitutes in the country are
foreigners from Indonesia, the Philippines, Burma, Thailand, and China.
These women often work as karaoke hostesses, "guest relations officers," and
masseuses. Russian women work in smaller numbers as prostitutes. Malaysian
women are trafficked for sexual purposes mostly to Singapore, Macau, Hong
Kong, and Taiwan, but also to Japan, Australia, Canada, and the United
States. According to police and Chinese community leaders, Malaysian women
who are victims of traffickers are almost exclusively ethnic Chinese, though
ethnic Malay and ethnic Indian women work as prostitutes domestically.
Police and NGO's believe that Chinese criminal syndicates are behind most of
the trafficking (both incoming an outgoing) of women of all nationalities.
The Deputy Home Minister stated in 1997 that 4,200 Malaysian girls and young
women were reported missing in 1997. Political parties and NGO's estimate
that a portion of these women and girls were victims of traffickers.

A few government officials may provide bogus documents illicitly to
traffickers (although no specific cases were reported), but the Government
investigates and punishes those involved in such cases. The Government
assists underage girls and has rescued some kidnaped women. Police often
raid venues of prostitution. For example, Selangor state police said that
they had raided 1,230 suspected "vice dens" during the year. However, NGO's
and women's rights activists complain that police have no coherent policy to
protect victims of trafficking. Rather than prosecute traffickers, police
generally arrest or deport individual women for prostitution. In 1998 the
press quoted an anonymous police official as saying that Malaysia had become
a "safe haven" for traffickers. A police spokesman asked for official
comment responded by questioning whether press reporting on trafficking in
women was in the national interest.

Authorities prosecute traffickers in child prostitution vigorously.
Statistics for apprehension of traffickers are not available.

[end of document]



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