The National Union of Bank Employees (NUBE) today called on Hong Leong Bank to reconsider its intention to implement the Voluntary Separation Scheme (VSS), claiming it was in violation of the collective agreement, its general secretary, J Solomon said.

He said the union had an existing collective agreement with Hong Leong Bank which would expire soon.

Moreover, he added, Hong Leong Bank was making profits and there was no sound reason to lay off employees at this stage.

He pointed out that the VSS was  to  circumvent retrenchment procedures laid out in the code of conduct for industrial harmony where the employer need not comply with the proviso for retraining and the 'last come first go' principle.

Solomon told Bernama that the bank had informed the workers of its intention through a circular dated Nov 2 and claimed that it had been approved by Bank Negara and the director-general of Labour.

However, he said if the claim was true, then NUBE had the right to know on what basis such an approval was given.

He added that if the DG of Labour had also approved it, then again it was in “excess of his powers as he had usurped the functions of a trade union because his powers were limited to only regulating labour administration and addressing complaints and had no powers to approve VSS”.

Solomon urged Bank Negara to intervene and call for a tripartite meeting to discuss the issue immediately as the workers were very concerned about their future.

Hong Leong employs about 11,000 workers as it had now merged with EON Bank.

- Bernama