Trade unionists are not ready to give up their fight for an increase in the pay structure insisting the recent government gazette calling for an increase in estate wages clearly shows the need for a salary hike. This comes on the heels of a government withdrawal of the gazette to increase estate sector wages to [...]

Business Times

Trade unions continue struggle for worker wage hike

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Trade unionists are not ready to give up their fight for an increase in the pay structure insisting the recent government gazette calling for an increase in estate wages clearly shows the need for a salary hike.

This comes on the heels of a government withdrawal of the gazette to increase estate sector wages to Rs.1700. However, now the government, in the new gazette has called to establish a wage increase in collaboration with the Wages Board.

With the new gazette issued by the government on July 10 revoking the earlier one to increase wages, now it has been handed over to the Wages Board to meet with the unions and the Regional Plantation Companies (RPCs) and decide on the increase in the rate.

The RPCs are already in court over the previous gazette where an interim injunction had been issued by the Supreme Court with regard to the increased pay.

CWC leader Jeevan Thondaman told The Sunday Times Business they will continue to insist on the increase of the estate sector wages up to Rs.1700 and will be awaiting a meeting in the first week of August by the Labour Minister.

He pointed out that the revoking of the gazette by the government on the increase in wages to Rs.1700 was only as a matter of procedure in which this kind of an increase could be carried out.

Mr. Thondaman said they would now want the companies to come to the discussion table with them and the Wages Board.

Previously, he said the RPCs did not appear for the discussion when called adding that despite the matter being before courts does not mean the courts are against a salary increase.

Following the government revoking the gazette the RPCs were called for a meeting with Labour Minister Manusha Nanayakkara at the Ministry on July 23 who had requested them to submit their proposal for a possible increase in the pay for estate workers.

During the meeting the RPCs had once again submitted their previous proposal for an increase of the pay to Rs.1200 basic pay and Rs.150 incentive allowance and Rs.65 per kilo.

However, Minister Nanayakkara had also suggested his proposal for a pay hike of Rs.1350 for the estate workers.

He had also noted that the ban on cultivation of palm oil will be lifted soon once they receive cabinet approval.

The oil palm industry has lost approximately US$35 million in revenue had the cultivation of the crop on 20,000 H continued into 2024. Recommendations are said to have been made by an Expert Committee to lift the ban on oil palm.

Meanwhile FTZ and General Services Trade Union General Secretary Anton Marcus said that they continue to insist on the increase of pay for workers in the apparel sector since they believe the government already has made it clear that workers need to be paid more under the current economic conditions.

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