Sri Lanka’s apparel industry workers, being asked to tighten their belts due to the temporary withdrawal of the GSP + concessions, are urging employers to safeguard their rights the companies have enjoyed huge profits and other benefits since 2005 as a result of the tariff benefits.
Addressing a press conference in Colombo last week, Joint Secretary of Free Trade Zones and General Services Employers Union, Anton Marcus said that if the country wants to get back GSP + the government should ensure that employers must honour trade union collective agreements and freedom of bargaining which were among the 27 conditions including human rights laid down by the EU. He disclosed that 45% of Sri Lankan apparel are being exported to the United States without any GSP tariff facilty and 55% to European countries with GSP +. The suspension of this facilty will only reduce the profit margins of employers and they will not be hard hit by this action, he said. Therefore there is no need to reduce the apparel sector workforce which has shrunk to 180,000 from 300,000 in 2002, he said.
Revenue from apparel exports has increased from $2.2 bilion in 2002 to $3.4 billion in 2008. But the workers are poorly paid and they get a salary of around Rs.11,000 all inclusive, much less than a government labourer who earns a monthly salary of Rs. 19,950, Mr Marcus said. Under this set up the apparel sector should focus attention on social labour productivity or the clean cloth concept of improving working conditions of workers in the garment industry who are faced with reducing wages, deteriorating health, and an increased risk of losing jobs, he said.
The responsibility of apparel sector employers is to look after their employees in 403 factories countrywide as these workers helped them to earn money taking advantage of the GSP plus facility, he said.
He added that these workers were not given any benefits during the past four years and asking them to tighten their belts now is unreasonable as the employers will not face a major threat of losing revenue due to the suspension of this tariff facilty. Employers and the government authorities should work together to resolve the economic problems of workers and they should not be deprived of the Rs. 2, 500 salaray increase promised by the president to the public sector during his election campaign. |