Plantation workers get increased wages

Weeks of negotiations between the Employers' Federation of Ceylon (EFC) companies and the unions have resulted in a fresh Plantation Collective Agreement which raises the daily wage of workers from Rs.200 to Rs.290. The wage increase was agreed upon by the parties on Tuesday after a meeting with President Mahinda Rajapaksa. Back in September 2007, three unions which included the Lanka Jathika Estate Workers Union (LJEWU), the Ceylon Workers Congress (CWC) and the Joint Plantation Trade Union Committee (JPTUC) repudiated the earlier agreement signed in November 2006 over a wage dispute. The new agreement is expected to come into effect from November 1, 2007 until March 31, 2009. On Thursday, the CWC returned to the cabinet after pulling out some months back.

Director General of the EFC, Ravi Peiris told The Sunday Times FT this week the President made a special request to give these wages and also appealed to the unions that there must be increase in productivity. "Thereafter, we had no option but to come to this agreement," he said. "Some companies are finding it extremely difficult to implement this but we are going into it with a lot of expectations, hoping there will be some reciprocation on the part of the workers and that they will enhance their productivity in terms of attendance and in terms of giving the norms. That is the only hope." Peiris added that this was not the time for negotiations to take place as the previous agreement, signed in November 2006 was valid up to 31 December 2008. He said they were given demands to repackage the wage package. "I think our position was very well laid down in the media, saying it's difficult for us to revise wages midway when people have budgeted and the industry was facing difficulties in the past few months." Peiris also said the EFC was hoping the new agreement would run for two years up to the end of 2009 but instead, expires in March 2009. "Even the President was with us and agreed but we were unable to get the concurrence of the unions." LJEWU General Secretary, K. Velayudan said that at the moment, considering the situation of the companies, the unions can't grumble on the terms of the new agreement and said some companies were not comfortable with the increased wages.

He also said the unions have made a written request to President, asking for concessions on certain food items such as flour to counter the rising cost of living. According to Velayudan, the President has written to the Ministry of Commerce to take this into consideration.