Plantation wage hike talks to resume today

By Shezna Shums

Discussions will take place today (6 June) between signatories of the Collective Agreement to finalise the crucial issue of the basic wage of a plantation worker. This will be the fifth round of discussions to be held since the Collective Agreement ended on 31 March.

Due to the delay in coming to a final agreement, some estate workers caused disruptions to the transportation of tea to the tea auctions in Colombo. These incidents were isolated and reported from some estates and affected the transportation of tea leaves to Colombo, with the tea leaves not being loaded onto the lorries for transportation.

Joint Plantation Trade Union Centre President S. Ramanadan said that some tea pluckers had made the decision to cause this delay on their own accord and that such action was not a widespread issue.



Following these incidents, Ramanadan noted that President Mahinda Rajapaksa had also urged the plantation unions, Employers Federation of Ceylon and regional companies to come to an agreement soon regarding the basic wage and the collective agreement.

“We expect to come to a final agreement by next week,” stated Ramanadan.

Speaking further on the collective agreement, Ramanadan explained that when the previous agreement had ended on 31 March, a new agreement had only been signed the following September; adding however that the wages of the plantation workers were paid in arrears.

“Even when the new collective agreement is finalised, the plantation workers will be paid their wages with arrears calculated from 1 April,” he said.

Meanwhile, Deputy Economic Affairs Minister M. Sivalingam stated that the labour force would struggle when such delays take place and that this was recently seen among free trade zone workers.

“There are about 600,000 people working in the plantation sector and they have been asked not to partake in any strike action, even regarding the recent delays in tea transportation this was a non violent issue,” he said.

Planters Federation of Ceylon President Lalith Obeysekera, who is involved in the discussion with the plantation workers trade unions, noted that the fifth round of discussions between the federation and the CWC, Joint Plantation Trade Union Centre (JPTUC) and Lanka Jathika Estate Workers Union (LJEWU) would take place today. He said that he expected a final decision to be made regarding the basic wage.

The Employers Federation of Ceylon had previously presented two contracts on the basic wage for a plantation worker, but both were rejected by the plantation worker unions.

Obeysekera noted that each company employed between 12,000 to 15,000 plantations workers and that a wage increase would be given but that this would have to sustainable and affordable to the companies whilst being adequate for a plantation worker to live off as well.

Other issues to be included in this collective agreement will be discussed during further meetings. The collective agreement is signed once every two years.

The basic wage is the vital factor being brought up by the plantation workers trade unions and they are asking for a minimum of Rs. 500 to be paid to a plantation worker per day. Currently a plantation worker earns Rs. 285 as a basic salary per day and on top of this earns an attendance incentive payment of Rs. 90 and another productivity incentive of Rs. 30, collectively amounting to Rs. 405 for a day’s wage.

However, Ramanadan insists that the productivity incentive payment of Rs. 30 should be removed and the basic pay per day for an estate worker increased to meet today’s cost of living.