Governance and Tripartism Department

Report on Review of Malaysia’s Labour Dispute Resolution System

This report analyses Malaysia’s labour dispute resolution system, highlighting the interactions between different institutions, their actors, and their regulatory frameworks; and identifies areas for legislative and institutional reform.

Procedures and mechanisms for the effective prevention and resolution of labour disputes are critical to promoting sound industrial relations, ensuring functioning labour governance systems, and enhancing access to justice for all. This report provides a comprehensive basis to assess the performance of various mechanisms to address collective and individual labour disputes in Malaysia, spanning from enterprise-level grievance procedures, to quasi-judicial and judicial processes.


The chapters in this report delve into the regulatory framework and functioning of public institutions with labour dispute prevention and resolution functions, as well as the various procedures to address the different types of collective and individual disputes. Subsequent to identifying potential barriers to access and the effective functioning of the system, these chapters provide recommendations that range from legislative amendment, to institutional reform, and to concrete actions such as awareness raising efforts and training of relevant officials.