After a long dispute and rounds of negotiation, an agreement has been reached between NUBE (National Union of Bank Employees) and the Malayan Commercial Banks Association (MCBA) over the salary and compensation issues of NUBE members working with the Malaysia commercial banks.
In the agreement, between 25,000 to 30,000 NUBE members will be given a salary adjustment of 17% beginning which will be backdated from 1 January 2006. Payment will be made on 1 July 2008, which means that the employees involved will get an outstanding payment of between RM4,000 to RM17,000.
In addition, all the members involved will get a fixed 2 months bonus on annual basis.
The exact figure of the increment are RM65 for the non-clerical staff, RM105 for clerical staff, and RM135 for special-grade clerks. The 17% salary adjustment is the highest since the last 10 years.
The conflict began in the middle of last year (2007) after the MCBA decided to remove the contractual bonus for the NUBE members and instead replaced it with a 30% salary increment.
NUBE launched a campaign to ask for the reinstatement of the previous benefits, with groups of employees organizing major pickets across the country, with particular to Maybank and Public Bank employees. The union and the association has been stuck in a stalled negotiation since then.