The labor administration system in Malaysia has passed through three historic successive stages. It first developed as a result of the British colonial Government's growing responsibilities to ensure an adequate and constant supply of migrant labor. The second stage can be seen in the efforts of a newly-independent government to develop labor administration as its obligations increased in economic and social matters. The last phase, which began in the 1970s, saw a shift from a traditional labor-welfare approach to a greater involvement in developing human resources. Development of labor administration began with the formation of the Labor Department in 1904. Since then, many of the Department's functions have been assumed by a number of specialized agencies coordinated under the Ministry of Labor, which acts as the focal point for labor administration.
Policymaking for labor administration is subject to the Cabinet's direction and coordination. Implementation of labor policy, however, is mainly vested in the Ministry of Labor and its agencies, such as the Labor Department, Industrial Relations Department, Registry of Trade Unions, Manpower Department, Industrial Court, Factories and Machineries Department, Social Security Organization, and the National Industrial Training and Trade Certification Board. The Ministry of Labor plays an important role in implementing the Government's social policies: "Labor today is a critical factor in national development and the Ministry has been actively developing labor policies, standards, and programs in relation to labour and manpower for their social and economic betterment" (Khan 3).
The Ministry of Labor is primarily responsible for promoting stable and peaceful industrial relations, and ensuring workers' safety, health, welfare, and a quality of life that is consistent with the country's economic development. Its objectives include: to ensure development of manpower resources in accor...