KUALA LUMPUR (June 25): Petronas said today that it deeply regrets to note that the Petronas Workers' Union in Sarawak decided to proceed with a deadlock declaration, despite the competitive offer given to all five unions involving the Malaysian national oil company's employees there.

The Petronas Workers' Union in Sarawak is also known as Kesatuan Kakitangan Petronas (KAPENAS) Sarawak. In a statement today, Petronas said four of the five unions have accepted the offer, which came into effect on Jan 1, 2019.

"Petronas refers to the picket held by KAPENAS Sarawak in Bintulu on June 24, 2019. Petronas has had four sessions of collective agreement 2019-2021 negotiations with KAPENAS Sarawak, with the most recent one held on April 16, 2019, where KAPENAS Sarawak declared a deadlock.

"We are working closely with all relevant authorities and stakeholders to ensure that the matter is resolved soon in the interest of our employees," Petronas said.

In response to Petronas' statement, KAPENAS Sarawak issued a statement later today, alleging it is "patronising, insulting and arrogant" for the Malaysian national oil corporation to expect and demand that all employee unions accept a one-size-fits-all offer.

KAPENAS Sarawak alleged Petronas refuses to take into account, the different situations and sensitivities of its employees.

"It is disturbing for Petronas to demand that KAPENAS Sarawak blindly follow other unions that are, by virtue of the Federal Constitution and the Trade Unions Act, separate and distinct.

"It is hypocritical for Petronas to now expect KAPENAS Sarawak to follow the other unions, when its own management team tried to pressure Sarawak to accept a lower salary increase, compared to the other four unions," KAPENAS Sarawak claimed.

KAPENAS Sarawak said it is not surprised by Petronas' statement, given the similar attitude the management displayed during the negotiations. 

"We call on the management to act in good faith, if it is serious in resolving the matter in the interest of its employees," KAPENAS Sarawak said. 

At the time of writing this report, Petronas had not issued a follow-up statement in response to KAPENAS Sarawak's allegations.