Workers on tea smallholder estates left out of wage hike?
There seems to be ambiguity on the granting of a wage hike to estate workers as smallholders complain they have not been informed as to how they need to increase the pay as proposed in the budget.
The government has come to an agreement with the Regional Plantation Companies (RPCs) to increase wages of estate workers by paying an additional Rs.200 from the RPCs and another Rs.200 from the government.
Kalutara and Galle Smallholders Tea Estate Association President Ushan Samarasinghe told the Sunday Times Business that the increase in pay for estate workers who they employ has not been addressed inspite of the fact that they produce 70 per cent of total export. It was pointed out that as always the authorities seem to believe that having discussions with the Regional Plantation Companies (RPCs) will suffice and that smallholders do not matter.
He noted that when they contacted the Plantation Ministry to ascertain how the proposed salary increase will be paid, the authorities were unaware themselves.
Plantation Ministry authorities contacted by The Sunday Times Business said they believed this wage hike was meant for only the RPC estate workers.
The official said that smallholder plantations paid workers in the range of Rs.2000 – 3000 and as a result this increase was necessary only for the RPC estate workers.
Mr. Samarasinghe pointed out that while they invested in lands, the RPCs did not as the lands the latter cultivated were only leased out to them.
Currently there are around 84,000 workers on the RPC estates and if the wage increase is meant only for working on the RPC estates then the smallholders will face a problem. “Everything depends on the reaction of the workers when wages are paid,” Mr. Samarasinghe noted.
In fact, he pointed out that after a century the tea industry although an export income generator has today become so poor that they have to beg the government to pay the wages of the estate workers.
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