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Estate sector salary issue: A bitter cuppa for workers

26 Jun 2021

By Yumiko Perera  Several protests by estate workers demanding their due salaries were staged in several areas in the Central Province over the past few weeks. The estate workers continue to grapple for survival amidst the Covid-19 pandemic.   Estate sector workers have been fighting long and hard over the past few years for a minimum daily wage of Rs. 1,000, which finally came into fruition last March, with the Wages Board's seal of approval. Thus, a gazette dated 5 March stipulated that plantation sector workers be given a Rs. 1,000 daily wage.    Regional plantation companies (RPCs), despite the decision of the Wages Board, had not been too keen on the idea, and had proposed an incentive-based performance model, citing a potential reduction in productivity.   However, with the Government's intervention, the decision had been finalised.   The economy is reeling from the impact of the pandemic, and the plantation sector in its entirety, especially the workers who rely on a daily wage, have had to face a multitude of hardships to keep their heads above water.   While the fertiliser issue has brought about a significant level of uncertainty to the plantation sector, the rising cost of living has already caused further damage to the income of the labourers, adding to their woes.   Workers, industry worse off due to minimum wage?  Planters’ Association of Ceylon Chairman Bhathiya Bulumulla, speaking with The Sunday Morning, stated that plantation companies are doing their very best to cater to the needs of the workers, especially given the present circumstances in the country.   According to Bulumulla, based on productivity and performance, a single worker had earned nearly Rs. 1,500-2,000 daily. However, plantation companies have had to resort to paying estate workers a flat rate of Rs. 1,000, given the Wages Board's decision.   "The tea industry has taken a massive hit, and the workers are suffering. We haven't turned a blind eye towards their plight, and that is precisely why we introduced a performance-based model in the first place. There was a high level of performance amongst the workers earlier, and a single worker would pluck nearly 35-40 kg a day," he elaborated.   Furthermore, Bulumulla went on to say that depending on the norm of every estate, there is a minimum quantity of tea leaves that a single worker is expected to pluck, in order to qualify for the benefits. However, according to him, the productivity levels have plummeted significantly.   "Even if we pay the minimum wage of Rs. 1,000, the workers do the bare minimum," Bulumulla noted. Sri Lanka is said to have the lowest productivity rates and the highest wage compared with the other tea economies in the world. However, the tea industry boasts of bringing in a significant amount of foreign reserves into the country, thanks to the labour of the workers.  It is estimated that there are nearly 500,000 workers who provide labour services in the Sri Lankan tea industry; however, estate workers are also the most socially, economically, and geographically marginalised section of people in the country and have been for decades.  Workers left with no option  Several incidents where estate workers have had no option but to resort to protesting against the hardships they are faced with, stating that they had not received the stipulated amount in wages, were reported recently, The Sunday Morning learnt.   Ceylon Workers’ Congress (CWC) Vice Chairman Senthil Thondaman, speaking with The Sunday Morning, stated that the labourers are in dire straits and the estate sector companies have conveniently chosen to overlook their hardships.  Condemning the attitude the companies have towards their workers, Thondaman further expressed displeasure on how estate sector workers are being treated.  "The Wages Board clearly states that anybody working in the tea estates should be given the stipulated amount in wages, but we have found out that certain companies employ casual workers who are not registered. While registered workers get paid the stipulated amount, by employing unregistered workers, the companies have found a way around the law," he stated. Furthermore, Thondaman went on to state that this gives the companies leeway from paying the stipulated amounts to the workers. "Registering the workers or otherwise, is up to the companies to decide. They pay casual workers around Rs. 700 for a workday, and get away with it. Given the situation in the country, the workers opt to work as casual workers, and I believe there definitely needs to be some sort of regulation in this regard."  Companies using pandemic as excuse: Thondaman  Reiterating that the companies do not honour the hard labour the workers put in, Thondaman further went on to state that the companies are using the pandemic as an excuse to neglect their responsibility towards their workers.   "As far as I am concerned, workers aren't being given enough benefits, regardless of the situation in the country. These companies are running because they have an advantage in the Covid situation. If people want work, they would give the estate workers work, but they use the loophole and keep most of these workers as casual workers, which gives them the upper hand in the situation," he noted.   Furthermore, stating that the CWC plans on taking strict trade union action against the companies that fail to cater to the wellbeing of the workers, Thondaman emphasised that the pandemic has been a hindrance. However, as soon as the situation changes for the better, they would take necessary measures to address the matter.   Labour Commission receives complaints  According to Commissioner General of Labour Prabath Dharmakeerthi, several complaints had been made in this regard, and although there do seem to be a few isolated incidents here and there, investigations are underway on the matter. "This doesn't seem to happen everywhere, and only a handful of complaints have been made to us in this regard. However, we are looking into the issue," the Labour Commissioner stated.   Several attempts made by The Sunday Morning to get in touch with Minister of Plantation Dr. Ramesh Pathirana and Minister of Labour Nimal Siripala de Silva for more insight in this regard, proved futile. 


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