In a media statement, the Labour Law Reform Coalition (LLRC) says the decision to suspend Parliament until August will negatively affect the targeted 48% labour income share in Shared Prosperity Vision 2030.

It called on the government to reconvene Parliament and pass amendments to the Trade Union Act and Employment Act in the first quarter of 2021.

“The amendment to the Industrial Relations Act was made effective on Jan 1,” it said. “But many of its provisions cannot be enforced without the amendments to the Trade Union Act and Employment Act.”

It added that the suspension of Parliament will also set back the government’s effort to align domestic laws with international labour standards.

“Currently most workers are not protected by effective trade unions,” LLRC said, “which would be able to bargain for better wages, benefits and working conditions for them.”

The statement also said delaying the reform leaves workers vulnerable to lay-offs without proper negotiation.

“We urge the government to reconsider the suspension of Parliament and negotiate for an inter-party consensus to speed up the labour law reforms in Parliament.”

On Dec 28, Bernama had reported human resources minister M Saravanan’s announcement that the Industrial Relations Act 1967 would come into force on Jan 1.

In addition to promotion procedures, the amendment would allow trade unions to negotiate general issues related to the exchange, recruitment, termination of services due to labour surplus, dismissal and reinstatement as well as distribution of tasks.