The Malaysian Trades Union Congress (MTUC) today questioned Human Resources Minister Dr Fong Chan Onn's 'hasty' decision to end discussions between the National Union of Bank Employees (NUBE) and Bumiputra Commerce Bank.

In a press statement, MTUC G Rajasekaran described it as an attempt to derail the union's plans to picket against the bank this afternoon.

He said the minister's declaration that the two-year dispute was not a trade dispute under the definition of the Industrial Relations Act 1967, was most "unusual and unprecedented".

On Wednesday, Fong used this excuse to justify why the dispute over a number of issues such as non-payment of ex-gratia and withdrawal of pilgrimage leave - benefits that the top management currently enjoy - should not be referred to the Industrial Court.

Fong said he made the decision based on the fact that the bank did not violate the collective agreement signed with the union as no changes can be made without the nod from both parties.

Under the Industrial Relations Act, the minister can decide whether a dispute should be sent to the Industrial Court for arbitration.

'Crude method'

"MTUC questions the validity of this strange decision, in our view the ministry has no such powers under the law (to declare the dispute as non-trade related)," said Rajasekaran.

He added that the government made no attempts to conciliate the two sides despite repeated attempts by NUBE to seek the minister's and the director-general of trades union's assistance.

Instead of using his influence to get the bank's management to the negotiating table, Rajasekaran said Fong chose a 'crude and unprecedented method' to shut the door on negotiations and perpetuate disaffection among hundreds of affected employees.

"The timing and hasty delivery shows that the minister was more interested to disrupt the union's plan to commence picket against BCB on Oct 9.

"The minister's decision will have far-reaching implications if left unchallenged - this will open the door to unscrupulous and anti-union employees to adopt BCB's formula to effectively create industrial disharmony," he warned.

On Oct 1, NUBE announced in advance its decision to commence a nation-wide picket starting today, in view of BCB's "adamant refusal" to meet with the union to settle the outstanding dispute.

Lunch-hour picket

NUBE's decision to go on strike also relates to alleged "unfair practice" by the bank in allocating shares under the Employees Share Option scheme, "arbitrary" transfer of employees without consideration for the hardship it might cause, and the bank's decision to outsource a segment of its banking activities to EPIC-I Sdn Bhd - a move which the union said is in breach of the Banking and Financial Institutions Act (Bafia).

Despite the minister's decision, MTUC reported that over 2,000 unionised employees at 21 branches proceeded to picket during their lunch-hour this afternoon.

"MTUC supports NUBE's action and blames BCB management for their refusal to meet with the union to discuss their grievances," said Rajasekaran.

He added that the congress will attempt to open a dialogue with the ministry on this matter.

NUBE is also currently embroiled in a bitter internal feud which split the union into two groups. The dispute with BCB is being lead by the faction under Abdul Jalil Abdul Hamid.