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On
17 April
1959 sixty-six employers representing
the entire spectrum of Malayan business
met at the Selangor Club, Kuala Lumpur
to inaugurate the
Federation of Malaya
Industrial & Commercial Employers'
Consultative Association. The objective
of establishing an association of
employers was stated by the Chairman,
Mr. I.P. Bruce of Shell, in the
following words:
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"The path towards
progress and development
along which the Federation
of Malaya has chosen to
travel is that of a private
enterprise economy operating
within the policy laid down
by a democratically elected
Government... It is only
right that the Government
should expect the interests
of employers to be
represented by a recognised
and far-reaching
association, and that it
should be able to turn to
that body for advice and
consultation on all matters
pertaining to the
functioning of the free
enterprise system. There are
certain conditions
indispensable to the proper
functioning of the free
enterprise, and it is the
responsibility of employers
to ensure that the
Government maintains them."
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The
Association was established with 73
founder-members and one affiliate member,
the Pan Malayan Road Transport Operators'
Association. Mr. R.J.E. Price of Malayan
Tobacco Company was its first Chairman. Y.B.
Tan Sri Dato' S.O.K. Ubaidulla was elected
Vice Chairman and he became Chairman in
1963. Subsequently when the Association
changed its name to the Malayan Employers
Consultative Association (MECA) he remained
in that office until December 1982. In
recognition of his untiring and dedicated
service in the interest of the Association.
he has been made the Hon. Life President.
In May 1962 the Malayan
Council of Employers' Organisations (MCEO)
was formed comprising three constituent
members, viz. the Malayan Employers'
Consultative Association (MECA), the Malayan
Agricultural Producers Association (MAPA)
and the Malayan Mining Employers'
Association (MMEA). MCEO was officially
recognised as the apex employers'
organisation in the country serving as a
forum for consultation and coordinated
thinking among employers on matters of
common interest. It soon became apparent,
that the membership base of a central
organisation had to be expanded to reflect
the structural changes that were taking
place in the national economy and to allow
for a greater diversity of employer
representation and functional effectiveness.
A strategic realignment was essential to
enhance the effectiveness of the
Association. This view was also reflected in
the Labour Minister's speech to the MCEO in
1976 when he said:
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"Finally, I would like to
say here that Government
would like to see MCEO
develop into a strong
pinnacle of employers
organisations in this
country, whose influence
would pervade all aspects of
management, so as to help
establish practices and
conduct in labour-management
relations which are
conducive to the maintenance
of industrial peace and
harmony."
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The constituent members unanimously
agreed to dissolve MCEO with effect from
31 December 1977 and to transform MECA
into a new apex employer organisation
called the Malaysian Employers
Federation (MEF). The membership of MEF
included all the direct members of MECA
which became known as Ordinary members
and six employer trade unions which
became then Association members. The
change involved a structural reshuffle
the aim of which was to reflect the
image of a strengthened, closely-knit
and united central employers
organisation. This was achieved by
uniting the existing employer
organisations together with individual
corporations in the private sector under
a common umbrella thus emphasising the
status of the Federation as the most
representative employer organisation in
the country.
At the beginning of 1978
the number of members totalled 877. Now, 32
years later there are over 4,500 members with
membership comprising all sectors of
commerce and industry and the professions,
large and small. Presently the Head Office
of the Secretariat is housed at its own
premises, with Regional Offices in Penang,
Johor Bahru, Kuantan and Ipoh.
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