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What Does Arbitration Mean?

Arbitration is a method of dispute resolution whereby the parties to a dispute voluntarily submit the dispute to a third party for adjudication before or after the dispute has arisen and the parties are obliged to enforce it. In Malaysia, if you have issues about labour disputes, you can refer to Islamic Arbitration to look for help. 

Does labour arbitration actually work? Many people choose labour arbitration, mostly because the company has already left you out or marginalised you, refusing to talk to you on an equal footing, listen to you or meet your demands. The Labour Tribunal is a tool that we can use to achieve our objectives by spending time and effort, either to respond to the wages and compensation available, or to smooth the process of leaving and moving on to the next job. So from the above perspective, I personally think that the existence of labour arbitration is useful for us.

Have you gathered sufficient evidence? Evidence is important, and you don’t even need to hire a lawyer yourself if you have sufficient evidence, because you will be very confident that you have the reason in your hands. So, before you decide to go to labour arbitration, make sure you think through your claims and have evidence ready to support your claims. Things like contracts, documents, phone recordings, videos, emails, and WhatsApp transcripts can all be used as evidence, and if you don’t think they are sufficient, you can consciously collect them. I remember that in the arbitration process there is a mutual submission of evidence, which means that after you have initiated a grievance, the company will not just sit back and wait, they will submit their evidence based on your claim, such as what you have done to the company‘s detriment, and then you will go back to disprove the company’s claim and re-argue your claim, I think there is only one opportunity to argue with each other, and then you will wait for the hearing.

I believe that the ideal state of affairs is to sit down with the person in charge of the company, you understand me and I understand you, and finally reach a consensus. However, this is difficult to achieve on an individual basis, which is why there is an off-court mediation before the arbitration hearing, because after the hearing, there will still be appeals and judgments, which are time-consuming, and people are afraid of trouble, so off-court mediation is beneficial to the plaintiff, the defendant and the staff, unless there is no agreement. So as long as both parties are willing to mediate, the staff will be happy to facilitate the matter. The process of mediation is basically a matter of each party giving up one step, with the aim of getting the matter over with as quickly as they can.