Employer Perceptions of Factors Affecting Trade Union Effectiveness in Peninsular Malaysia

Trade union effectiveness is a critical determinant for industrial democracy and the well-being of employees in a state dominated industrial relations system. The ability to interpret, decipher, sustain and redefine the demands of the members represented would ensure the effectiveness of trade unions at the workplace. In addition, the strategies adopted by trade unions and environmental factors also influence trade union effectiveness. Although trade unions in Malaysia generally play an important role in protecting the rights of workers, the trade union movement is being challenged by many factors. Even though the number of trade unions and trade union membership have been steadily increasing there is a decline in union density. Thus, there is a need to analyse the factors influencing trade union effectiveness in the Malaysian context. Many of the studies examining trade union effectiveness have examined union organising, but there are several other determinants which lack empirical evidence. Drawing from the existing scenarios and findings, this study examined how union effectiveness is influenced by union strategy and environmental factors. Specifically, this study had three main objectives: (i) to analyse the relationship between union strategies (union goals, union methods, union tactics) and union effectiveness; (ii) to determine the relationship between environmental factors (legislative regime, government policy, management policy) and union effectiveness; (iii) to determine the relationship between environmental factors (legislative regime, government policy, management policy) and union strategy (union goals, union methods and union tactics).