DiGi signs Collective Agreement with newly-formed Employees Union

Press Release
December 14, 2014

DiGi signs Collective Agreement with newly-formed Employees Union

Shah Alam, 15 December, 2014 - DiGi Telecommunications Sdn Bhd ("DiGi") today signed the first collective agreement with newly-formed in-house union, DiGi Telecommunications Sdn Bhd Employees Union ("DGEU"). The agreement takes effect from 1 January 2015, and will remain in force for three years.

The collective agreement recognises DGEU as the sole bargaining body for all eligible employees, covering all permanent employees of DiGi apart from than those with executive, managerial, confidential, and security functions. The agreement also provides the regulation of relations between DiGi and DGEU, and covers a wide range of employment terms and conditions for eligible employees.

The signing was witnessed by Fong Khei Por, Director-General for Industrial Relations, Ministry of Human Resources, Malaysia. DiGi was represented by Chief Executive Officer Lars Norling, while DGEU was represented by its President, Ismail bin Jonid.

Speaking at the event, Norling commended both parties for being able to bring the process to a positive closure, within a relatively short time. "DiGi is committed to creating an engaging and supportive work culture and environment, built on progressive employment practices, and through strong partnerships with our employees and their representative bodies. Together with our parent Telenor Group we respect and support the right to organise and the right to collective bargaining, within national laws and regulations. We welcome the establishment of this Employees Union, and look forward to our good collaboration in the coming years, based on a clear and predictable framework."

Fong expressed that the Department of Industrial Relations was encouraged by the employee involvement ambitions of DiGi, and the close cooperation between DiGi and DGEU. "I view positively this new accord between DiGi and DGEU, and strongly believe that this milestone will not only further preserve the industrial harmony at DiGi, but also accelerate the pursuit of the company's business goals and strengthen employee welfare."

Also in attendance at the event was Mohamed Shafie BP Mammal, President of Union Networks International - Malaysian Liaison Council (UNI-MLC), which supported the process of negotiation and formation of DGEU. "The value of a collective agreement cannot be measured in terms of tangible benefits alone, but more importantly the extent to which it drives both the organisation's productivity and employees' growth and development. To this end, UNI-MLC recognises and applauds the good cooperation between DiGi and DGEU, and congratulates both parties on this achievement."